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Posted: October 17th, 2022
Charter Corporation, which began business in 2013, appropriately uses
Charter Corporation, which began business in 2013, appropriately uses the installment sales method of accounting for its installment sales. The following data were obtained for sales during 2013 and 2014:20132014Installment sales$360,000$350,000Cost of installment sales234,000245,000Cash collections on installment sales during:2013150,000100,0002014â120,000Required:Prepare summary journal entries for 2013 and 2014 to account for the installment sales and cash collections. The company uses the perpetual inventory system.
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