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The cost of a property is estimated to be $ 3500 and the sales price is quoted as $4500, An 18% downpayment is made by

The cost of a property is estimated to be $ 3500 and the sales price is quoted as $4500, An 18% downpayment is made by the buyer. the remainder is to be received over the period of 8 years. there is a doubt about buyers' ability to pay. how much profit should be recognized attributable to the downpayment if :

  1. the installment method is used
  2. the cost recovery method is used

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