Harry Boscoe wrote:In the OP, the assertion that "the closing statement shows a credit for prorated rents of $50k" is quite ambiguous, perhaps fatally ambiguous. Does this "credit" on the "closing statement" represent an asset item or an income item, and does it relate to the buyer or to the seller? We are being asked to build a case on *very* soft sand.
The credit on the closing statement relates to the client who is now the buyer in the second transaction. I'm not sure what you mean by is it an "income or asset" item? The item on the closing statement would also relate to the seller (a person we don't care about in our example as he/she is not our client) too, however.
I would like to provide more clarity since it seems that's what you are after, but am unsure exactly how to provide it.