Table 17-1
in 2016, a Developer Sells Land For $\$ 800,000$

question 56

Multiple Choice

Table 17-1
In 2016, a developer sells land for $\$ 800,000$ . The cost of the land was $\$ 500,000$ . He receives a $\$ 200000$ down payment plus three instalments of $\$ 300,000$ , $\$ 200000$ and $\$ 100,000$ which will be paid in 2017, 2018 and 2019 . He uses the instalment method to record revenue. It is decided that $10 \%$ is the appropriate rate of interest.
-Refer to Table 17-1.What amount of profit will be recorded when the developer makes the sale and receives the down payment?

• A)$100 000
• B)$513 148
• C)$713 148
• D)$213 148

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One who keeps, audits, and inspects the financial records of individuals or businesses; one who analyzes these transactions and prepares reports that not only tell the present status of accounts receivable and payable but compare current reports with other years or periods of time.

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Records that reflect the financial status of the medical office or business.

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The process of examining and breaking down something into its constituent parts to understand it better or draw conclusions.