Home      Login


The Problem of Expected Returns and Other Risks Associated With Installment Sales in an Uncertain Environment  


Author:  Richard Alltizer.; Jeffrey Bryant.


Source: Volume 25, Number 02, Winter 2008 , pp.3-17(15)




Journal of Taxation of Investments

next article > |return to table of contents

Abstract: 

Installment sales are frequently considered as an option for the disposition of business, investment, and personal-use property. Often, given financing alternatives, it is the only approach available to close a deal. However, while installment sales may help sellers dispose of property, they involve risk. An installment sale where a seller “carries” the buyer has the potential for unexpected outcomes. Moreover, the risks can increase when exogenous factors are especially volatile. Arguably, we are experiencing or are about to experience such a volatile time with regard to several important factors.

Keywords: 

Affiliations:  1: University of Central Oklahoma; 2: Wichita State University.

Subscribers click here to open full text in PDF.
Non-subscribers click here to purchase this article. $25

next article > |return to table of contents