Merdeka, Inc

Subject:UnrecognizedPrice:3 Bought3

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Merdeka, Inc. sold a house to Mr. Sugiharta for Rp 600,000,000 the cost of the house according to Merdeka, Inc.'s books was Rp 450,000,000. Several provisions are stipulated in the contract agreement: – Paying down payment amounting to Rp100,000,000. – Merdeka, Inc. and Mr. Sugiharta agreed to mortgage the house from Mr. Sugiharta to Merdeka, Inc. in the amount of Rp 500,000,000. – The mortgage deed was signed on November 1, 2018, payable in a period of 5 years with a payment every 3 months a year (4 time payments a year). – The mortgage interest is 12% per annum on the outstanding balance of the mortgage loan. – Commission and other fees for completing the mortgage deed amounting to Rp5,000,000 are paid in cash by Merdeka, Inc. – Installments for the first time will only be made in 2019. If from the example above, Mr. Sugiharta was unable to fulfill his obligations on February 1, 2020, so Merdeka, Inc. will withdraw its mortgage receivable balance of Rp 400,000,000 and have back (repossess) the house. • Meanwhile, the amount of installments that have been paid by Mr. Sugiharta, can only be withdrawn of 50%, and the remaining amount will be the right of Merdeka, Inc. • Suppose that the revaluation of the house is Rp 550,000,000 on February 1, 2020. • Instruction: make the journal entries for all of above transaction, and give the supporting computations.