Real Estate

Buyer Cancellation — Deposit Refunded

Refunding a buyer's deposit when the developer is at fault for the cancellation.

Account NameTypeDebit ($)Credit ($)
Advance from Buyers (Deferred Revenue)Liability (-)50,000.00-
Cash / BankAsset (-)-50,000.00

💡 Accountant's Note

If the developer fails to deliver on time or breaches the contract, the deposit must be refunded. This simply clears the liability with no income recorded.

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