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    miumiutira's Avatar
    miumiutira Posts: 11, Reputation: 1
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    #1

    Jun 3, 2012, 01:03 AM
    Accounting - sales and income
    Hi ,

    QUESTION: yong and co sold its first house to wong. The selling price of the land was $225000 plus GST. The estimated cost of the house was $500000. The selling price of the house was $625000 plus GST. Overall, the selling price of the house and land was $850000 plus GST.

    Wong agreed t the following payment plan:
    Land: wong paid for the full cost of the land plus GST today, January 3 2012.
    House: wong would pay for the full cost of the house on May 21, 2012.

    My entry is :
    Memo: I ignore the house transaction, because wong not pay today.

    Land: Dr cash 236250, CR sale tax payable 11250, Cr Land

    Please give a comment for my entry, because I want to record income, but I don't know how to make the entry. Because the P/L will show net loss, because without income, but my cash in...

    Thanks and regards,
    Miu
    ACCTGUY's Avatar
    ACCTGUY Posts: 22, Reputation: 1
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    #2

    Jun 3, 2012, 06:27 AM
    I think your entry is correct

    Lets say you are having loss of 100000

    JAN 3rd 2012 CASH DR 236250
    Loss on SALE - Land DR 100000
    SALES TAX CR 11250
    SALES - Land CR 325000

    Now I don't know what's the cost price of the land... How much Yong acquire the land for to calculate P/L
    miumiutira's Avatar
    miumiutira Posts: 11, Reputation: 1
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    #3

    Jun 3, 2012, 03:15 PM
    Hi, I think I'm missing one part of the question. Do you mind I send you thequestion by mail?
    ACCTGUY's Avatar
    ACCTGUY Posts: 22, Reputation: 1
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    #4

    Jun 3, 2012, 03:59 PM
    You can write your question here
    Everyone will help you with answer
    miumiutira's Avatar
    miumiutira Posts: 11, Reputation: 1
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    #5

    Jun 3, 2012, 04:05 PM
    Quote Originally Posted by ACCTGUY View Post
    You can write your question here
    Everyone will help you with answer
    O OK.. no problem. Thanks for willing to help. I will upload the question again .
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