On November 15, 2016, LaGrow Developers Sold a Parcel of Land

question 90

Multiple Choice

On November 15, 2016, LaGrow Developers sold a parcel of land for $6,000,000. They had originally paid $3,600,000 for the land. The terms of the sale called for a $2,000,000 down payment, and the balance in two equal installments payable on November 15, 2017 and November 15, 2018. Disregard interest charges. LaGrow has a December 31 year-end. Refer to LaGrow Developers. Assuming that LaGrow uses the installment sales method, the company would recognize gross profit in 2017 of ________. (Do not round intermediary calculations, and round your final answer to the nearest whole dollar.)

• A) $0
• B) $800,000
• C) $2,000,000
• D) $4,000,000

---

Definitions:

Retrieval Cues

Stimuli or signals that can trigger the memory recall of previously learned information.

Maintenance Rehearsal

A cognitive process involving the repeated review of information to keep it in short-term memory.

Source Confusion

A memory error where the source of a memory is incorrectly attributed to some specific remembered experience.

Schema Intrusions

Unwanted, intrusive thoughts or memories that disrupt current cognitive processes, often related to traumatic events or fears.