Calculate the realized gross profit for the current year


A company that was incorporated on January 1 of the current year uses the installment method because it has no reasonable basis for estimating the collectibility of installment receivables. At year-end, the balance of installment receivables was $1.4 million. Installment sales for the year equaled $2 million. If the gross margin percentage was 20%, the realized gross profit for the current year was?

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Accounting Basics: Calculate the realized gross profit for the current year
Reference No:- TGS0704853

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