The Peach Corporation uses the cost recovery method of recognizing revenue. It has accumulated the following related

Question:

The Peach uses the cost recovery method of recognizing revenue. It has accumulated the following related information:
Sale of property under cost recovery method ........ $50,000
Cost of property sold (net) ................ 30,000
Cash collections
Year 1 ........................ 12,000
Year 2 ........................ 20,000
Year 3 ........................ 18,000
Prepare the necessary journal entries for Years 1 and 2.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...