The normal accounting entries for installment sales require keeping a separate record by year of receivables, collections

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The normal accounting entries for installment sales require keeping a separate record by year of receivables, collections on receivables, and the deferred gross profit percentages. Why are these separate records necessary?

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Intermediate Accounting

ISBN: 978-0324592375

17th Edition

Authors: James D. Stice, Earl K. Stice, Fred Skousen

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Question Posted: Jan 28, 2012 06:08 AM

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The normal accounting entries for installment sales require keeping a separate record by year of receivables, collections

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Installment sales accounting requires recognition of gross profit as the c...View the full answer

Intermediate Accounting

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