Real Estate

Sale of Completed Unit (Cash)

Recording the sale of a ready residential unit paid in full by the buyer.

Account NameTypeDebit ($)Credit ($)
Cash / BankAsset (+)850,000.00-
Property Sales RevenueRevenue (+)-850,000.00
Cost of Property SoldExpense (+)500,000.00-
Property InventoryAsset (-)-500,000.00

💡 Accountant's Note

For a ready unit sold at closing, both revenue and COGS are recognized simultaneously at the point of sale.

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