Miaka sold her personal property in 2018, with details as follows: Cost                                                                ₱ 425,000 Mortgage assumed by the buyer                  510,000 Installment collection schedule:             2018                                                      140,000             2019                                                      140,000             2020                                                        60,000   How much is the selling price? SOLUTION: 140,000 +    140,000 + 60,000=340,000 How much is the contract price?

Individual Income Taxes
43rd Edition
ISBN:9780357109731
Author:Hoffman
Publisher:Hoffman
Chapter14: Property Transactions: Determination Of Gain Or Loss And Basis Considerations
Section: Chapter Questions
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Miaka sold her personal property in 2018, with details as follows:

Cost                                                                ₱ 425,000

Mortgage assumed by the buyer                  510,000

Installment collection schedule:

            2018                                                      140,000

            2019                                                      140,000

            2020                                                        60,000

 

  1. How much is the selling price? SOLUTION: 140,000 +    140,000 + 60,000=340,000
  2. How much is the contract price?
  3. How much is the initial payments?
  4. How much is the realized gross profit for 2018?
  5. How much is the realized gross profit for 2019?
  6. How much is the realized gross profit for 2020?
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