Installment Sales Method in Accounting

This video discusses the installment sales method in accounting. A comprehensive example is provided to illustrate the journal entries that are required to use the installment sales method and defer gross profit until cash is collected.
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[@neversayjello]

thanks. i'm a CPA and I still watch your videos for refreshers, especially the tax ones

[@Edspira]

Awesome! Thanks for watching :)

[@andiro2898]

I love everything about your videos! 1)First and most importantly, the way you explain the topic; you first explain the concept, then give a simple example for us to grasp the concept, and then give a detailed one but to the point. 2)The colors that separate each point make it way easier to follow. 3)The length of the video; short yet informing. You have a God-given talent, your students are very lucky to have you. Cannot thank you enough, please keep doing more videos.

[@kingdavid7503]

we need more people like you

[@Edspira]

Thank you my friend

[@leahk7057]

Thank you very much, Sir! The way you explain topics is very clear and easy to follow!

[@Edspira]

leah K Thank you for the kind words! I hope you do wonderful in your courses!!

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[@yongpingmcdonnell6748]

This is the best lecture! It is so clear, so in logic order, and so easy to follow!

[@mngmsherpa]

this explains more concisely and clearly. Thank you

[@Rjk15]

Thanks a lot! Helped me study in a hurry!

[@zeAristotle]

Your videos on these topics are really good and quick. Much better then Beckers!

[@Edspira]

Thanks!

[@noelleyvette]

Thank you very much sir. It helped a lot.

[@seenamba]

Dear Sir, Your explanation crystal clear and very easy to understand. Excellent one. Many thanks for your help.

[@Edspira]

It is my pleasure. Thank you for the kind note. Good tidings to you.

[@GY2018]

Thank you for this awesome video

[@aileengarrovillas4954]

Thank you, it helps me lot!!!

[@jbama2213]

How do you account for the Deferred Gross Profit balance when a portion of the AR balance is written off?

[@ramisayyed820]

thank you for the video but just a question if you may answer me , according to this at the end of the year and before doing the income statment the balance in the installment sales and the cost of the installment sale would equal to ZERO , so they won`t show in the income statment just the realized gain would show , why is that ???

[@dakawntant1192]

Hi sir! I hope you can make a video of answering some examples of some complex installment sales like there is a trade-in, regular sales etc. Hope you can upload it as soon as possible and by the way this vid is very nice to understand basic installment sales! Job well done sir!

[@angelicareyes412]

Hyeong Seok Choi Right! examples please ~

[@msalyyy]

Hyeong Seok Choi I'm sharing the same thought with you. That's exactly what I am looking for.

[@Ahmed4bh]

Thanks man your the best.

[@crocr]

this was great help thanks

[@carleyg8624]

Really great, thank you

[@edithamalgapo2699]

How about the computation of percentage tax and value added tax using installment method from the point of view of the buyer & seller.

[@raysonestabillo4181]

very nice, thank you sir.

[@kurumitokisaki4844]

Thank you sir.

[@user-kx7ch2ye9z]

Sir Where deferred gross profit appear in blance sheet

[@gallegarizzagrace9721]

do you have installment sales in repossession?

[@anil4015]

Thank You 🙏🏼🙏🏼

[@skyepie05]

i am lost. if def gp is the amount that was not paid, why are we using realized gains as deferred ? shouldn't the figures be reversed? instead of 37,500 it should be 63,500 deferred into 2019? or be called realized gp to r/e

[@Zetroid]

what if there is a down payment?

[@nadine_ryota8507]

How about service sales?

[@51jstubbs]

What type of account is "Installment Sales" used to balance A/R???

[@razieluchiha7580]

sean2339 shouldn't that be a deferred revenue type liability?

[@xunaidmahim5079]

helpful indeed

[@Edspira]

Thanks!

[@terralynmitchell8697]

how did he get the cash collected of 100,000 for 2018 and 200,000 and 150,000 for 2019. thank you for your help. PLEASE HELP ANSWER QUESTION

[@marialipy]

hello, that figures were just assumptions. assuming that these were the cash collected from the installment sales..

[@johncarlomangalinao4175]

How abour for periodic inventory system

[@marialipy]

if periodic inventory, ni entry to record cost of sales.

[@JAFFER3657]

Watching in 2018 :D

[@simcardpw4210]

thank you for this! AHHA