Assume that Steffi signed a $50,000 installment note when she signed the franchise agreement. RS has no experience estimating uncollectible accounts associated with these sorts of notes. They can recognize
A) $50,000 of revenue when Steffi signs the agreement.
B) $50,000 of revenue as soon as they have assisted Steffi in setting up the store.
C) revenue under the installment method, starting when Steffi signs the agreement.
D) revenue under the installment method, as soon as they have assisted Steffi in setting up the store.Substantial performance has occurred, but can't estimate bad debts, so use the installment method.
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