09-18-2010, 02:37 AM
MN company sells all merchandise on the installment basis. Condensed income statement and the amount collected from customer of each of the first year operation.
sales 270000
cost of mer.sold 162000
gross profit 108000
operating expense 50000
net income 22000
collection from sales of 90000
1st year.
REQUIRED
Determine the net income that would have been reported. if the installment method of recognizing revenue had been employed.
plz solve this problem.
sales 270000
cost of mer.sold 162000
gross profit 108000
operating expense 50000
net income 22000
collection from sales of 90000
1st year.
REQUIRED
Determine the net income that would have been reported. if the installment method of recognizing revenue had been employed.
plz solve this problem.
