Installment and cost-recovery-first methods of income recognition. JMB Realty Partners sold a tract of land costing \(\$ 60,000\) to a manufacturing firm for \(\$ 100,000\). The manufacturing firm agreed to pay \(\$ 25,000\) per year for four years (plus interest).

Compute revenue, expense, and net income for each of the four years using the installment method and the cost-recovery-first method. Ignore interest.