Orange Cable TV Company, an Accrual Basis Taxpayer, Allows Its

Orange Cable TV Company, an accrual basis taxpayer, allows its customers to pay by the year in advance ($600 per year) or two years in advance ($960) . In September 2019, the company collected the following amounts applicable to future services: $\begin{array}{ll}\text { October 2019-September } 2021 \text { services (200 two-year contracts) } & \$ 192,000 \\\text { October 2019-September } 2020 \text { services (200 one-year contracts) } & 120,000 \\\text { Total } & \$ 312,000\end{array}$ As a result of this, Orange Cable should report as gross income for 2020:

A) $54,000.
B) $78,000.
C) $258,000.
D) $312,000.
E) None of these.