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4 HP Sellers Ltd. sells TV sets under instalment-purchase agreements. The company credits its profit and loss account each financial year with the profit on
4 HP Sellers Ltd. sells TV sets under instalment-purchase agreements. The company credits its profit and loss account each financial year with the profit on deposits and instalments received. This is done by multiplying the gross profit percentage for a particular contract by the deposits and instalments received on that contract. The following transactions took place during the financial year ended 31 December 2007. Name of buyer Cost of TV sets Instalment- purchase price of TV set Deposit paid Instalments paid PORST R500 R 800 R200 R400 R400 R 600 R150 R150 R300 R 500 R120 R 80 R600 R 900 R250 R200 R1 000 R300 R100 R700 R's TV set was repossessed and sold for R350 cash. Show the instalment credit debtors' account, the instalment credit training account and the second-hand trading account in the books of HP Sellers Ltd. for the year ended 31 December 2007
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