Brief Exercise NO: 14

At December 31, 2014, Grinkov Corporation had the following account balances.\nInstallment Accounts Receivable, 2013 $ 65,000\nInstallment Accounts Rece

At December 31, 2014, Grinkov Corporation had the following account balances.

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Installment Accounts Receivable, 2013 $ 65,000

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Installment Accounts Receivable, 2014 110,000

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Deferred Gross Profi t, 2013 23,400

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Deferred Gross Profi t, 2014 41,800

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Most of Grinkov’s sales are made on a 2-year installment basis. Indicate how these accounts would be reported in Grinkov’s December 31, 2014, balance sheet. The 2013 accounts are collectible in 2015, and the 2014 accounts are collectible in 2016.

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