10. In the case of long-term real estate installment salesa. the entire receivables are shown as current without disclosure of the amount notcurrently dueb. the entire receivables are shown as noncurrentc. only the portion currently due is shown as current and the balance as noncurrentd. the entire receivables are not recorded.

Long term real estate installment sales refers to the selling arrangement where the sales amount is…

Answered: 10. In the case of long-term real…

Business

Accounting

10. In the case of long-term real estate installment sales

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 13Q: What is a key difference between a short-term note payable and a current portion of a noncurrent...

See similar textbooks

Related questions

Q: relationship between Future Value Factor and Future Value of an Annuity Factor

A: Future value factor is the equivalent value at the some future date of a cash flow at time 0. For…

Q: he _____ or _____ interest rate reflects the real rate of return on an investment. a. annual or…

A: The rate of return without considering the impact of compounding and effective is the rate of return…

Q: calculate the EBIT: calculate the net income: calculate the OCF: what is the depreciation tax shield

A: INCOME STATEMENTIncome Statement is one of the Important Financial Statement of the Company. Income…

Q: State the advantages of long-term debt financing.

A: Long Term Debt Financing: It refers to the debt financing required by the firm which usually has a…

Q: Mr. Kevin Dates is the owner of an expanding business operating in bakery industry located in…

A: NPV is techniques under Capital budgeting which help in decision making on the basis of positive…

Q: What is the meaning of Installment Sales?

A: Installment sale: It is one of a few potential income acknowledgments approaches under the Generally…

Q: What are some types of current assets that are pledged as security for short-term loans?

A: A pledged asset is collateral pledged by a borrower to a lender (usually in return for a loan). The…

Q: Using examples, differentiate between short term and long term finance?

A: Financing: It represents a process where the business is funded for its activities or buying…

Q: Explain Loan Amortization Patterns?

A: A loan amortization pattern, as made by an amortization calculator, maybe a table enumerating each…

Q: 11. Inflation - how can inflation affect the real estate market? In what different ways?

A: Comment- We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Q: . How do rising interest rates affect the size of real estate loans that lenders will advance?

A: The central bank of a country changes the interest rates intermittently to control inflation or…

Q: The sum of the principal and the interest on an investment is called the _____ value.

A: The sum of the principal and the interest on an investment is called the Maturity value.

Q: Read each problem carefully and choose the CORRECT answer among the choices. PROBLEM: Brooklyn…

A: Lets understand the basics. As per IAS 23 "Borrowing costs", borrowing cost incurred to construct or…

Q: Explain the nature of long term debt.

A: Nature of long-term debt: Long-term debts are the obligations of the company that are required to…

Q: From the table below, answer comprehensively the following subparts: a. Which plan do you prefer?…

A: Here we can use the concepts and formulas of compounding and time value of money.

Q: Explain Real Estate Performance and Inflation?

A: Inflation is an overall increase in the price level. Inflation has an extensive effect on the…

Q: is the potential impact of long-term borrowing?

A: Long-term borrowings: Long term borrowings help companies to attain their long term financial…

Q: What does the Excel argument Nper refer to? Number of periods of time for a loan or investment.…

A: Nper is important argument in EXCEL while calculating present value or future value in financial…

Concept explainers

Amortized Loans

The term "amortization" refers to spreading the value of a loan or a debt over a series of regular payments or installments comprising of both the principal and interest amount. It generally involves the process where in the value of a loan or an intangible asset is written down over its maturity period.

Question

10. In the case of long-term real estate installment sales
a. the entire receivables are shown as current without disclosure of the amount not
currently due
b. the entire receivables are shown as noncurrent
c. only the portion currently due is shown as current and the balance as noncurrent
d. the entire receivables are not recorded.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Is the following statement true or false? The deposits or payments are made at the end of the period in ordinary annuities. O False O True
The net figure for accounts receivable (debtors) after deducting the allowance for uncollectible debts account: Select one: a. overstates the realisable value of debtors. b. is a contra account. c. understates the realisable value of debtors. d. represents the expected cash to be collected. e. None of the above answers is correct.
Please solve
8. When specified receivables are used to secure for a loan on a notification basis, which accounting treatment is required? Only a note to financial statement is required The borrower notifies the debtor that their receivables were assigned the borrower should not notify the debtor that their receivables were assigned Notify the debtor that their receivable was sold
#34
Bad debts under the allowance method are A reserve created to meet expected next period expense. An expense of the current period under the matching principle. An expense of the next period recognized in the current period under the conservatism principle. None of the above
Which of the following is not a liability? A. Notes payable. B. Current portion of long-term debt. C. Deferred revenue. D. An unused line of credit.
18. Which of the following contingencies is usually not accrued in the accounts? a. uninsured risk of property loss by fire or other hazardsb. guarantees of indebtedness of othersc. noncollectibility of receivablesd. agreements to repurchase receivables that have been sold
Compare and contrast the direct write-off method and the allowance method for bad debts. At a minimum, please consider the following in your answer: When is the expense for uncollected accounts receivable recognized under each method? Why is the direct write-off method not considered to follow generally accepted accounting
None
6. When unspecified receivables are used to secure for a loan, which accounting treatment is required? Only a note to financial statement is required The borrower notifies the debtor that their receivables were assigned the borrower should not notify the debtor that their receivables were assigned Notify the debtor that their receivable was sold
Which of the following is not generally correct about recording a sale of a debt security before its maturity date? O An entry must be made to amortize a discount to the date of sale. O The entry to amortize a premium to the date of sale includes a credit to the Premium on Debt Investments account. O A gain or loss on the sale is reported as other revenue or expense. O Accrued interest will be received by the seller even though it is not an interest payment date.