LO.4, 7 In December 2012, Carl Corporation sold land it held as an investment. The corporation received $50,000 in 2012 and a note payable (with adequate interest) for

$150,000 to be paid in 2014. Carl Corporation’s cost of the land was $80,000. The corporation has a $90,000 net capital loss carryover that will expire in 2012. Should Carl Corporation report the sale in 2012 or use the installment method to report the income as payments are received?