On January 2, 2020, a public company sells machinery for $620,000. The in-store list price on the date of sale is $595,000. The condition for the sale is the customer will pay $104,000 in cash on the date of the sale with the remaining balance on a note face value due in four years. Required Record all 2020 and 2021 journal entries assuming the company follows a calendar year.
On January 2, 2020, a public company sells machinery for $620,000. The in-store list price on the date of sale is $595,000. The condition for the sale is the customer will pay $104,000 in cash on the date of the sale with the remaining balance on a note face value due in four years. Required Record all 2020 and 2021 journal entries assuming the company follows a calendar year.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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| On January 2, 2020, a public company sells machinery for $620,000. The in-store list price on the date of sale is $595,000. | |||||||||||||
| The condition for the sale is the customer will pay $104,000 in cash on the date of the sale with the remaining balance on a note face value due in four years. | |||||||||||||
| Required | |||||||||||||
| Record all 2020 and 2021 |
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