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Say you are in charge of a storage shed business. You recognize sales when the shed is fully installed in the customer's yard. Your company takes 25% deposits on all orders. At the end of your accounting cycle, you have $500,000 in customer deposits. How do you state and properly account for this activity in your financial statements?

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M9419862

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