On June 1, 2019, Inispree Enterprises sells a new car costing P545,280 for P1,360,800. A used car
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On June 1, 2019, Inispree Enterprises sells a new car costing P545,280 for P1,360,800. A used car is accepted as a down payment, P192,00 being allowed on the trade-in. The used car can be resold for P291,600 after reconditioning costs of P38,880. The company expected to make a 20% gross profit on the sales of used cars. In 2019, P104,000 cash was collected on the contract.
- Determine the realized gross profit for 2014. 179,040
- Determined the balance of installment receivable as of December 31, 2019.
- How much is the gross profit rate?
Related Book For
Intermediate Accounting IFRS
ISBN: 978-1119372936
3rd edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
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