How do you calculate gross profit deferred?

How do you calculate gross profit deferred? To calculate deferred gross profit, multiply the installment receivable balance by the gross profit percentage. For example, say the company has only collected $140,000 for a project priced at $500,000. The installment receivable balance is $500,000 minus $140,000, or $360,000. What kind of account is deferred gross profit? … Continue reading How do you calculate gross profit deferred?