TMZ sells a building for $500,000 to Alexis on 1/1/2020. If Alexis makes a $50,000...
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Accounting
TMZ sells a building for $500,000 to Alexis on 1/1/2020. If Alexis makes a $50,000 down payment, agree to an 8% rate of interest, quarterly payments of equal amounts, and a ten-year payoff, what amount will TMZ get in quarterly payments? The building had an original cost to TMZ of $475,000 and $95,000 in accumulated depreciation on the day of the sale. Record TMZs journal entry for the sale and Alexiss journal entry for the first two quarterly payments.
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