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 2018, the company collected the following amounts applicable to future services:

October 2018-September 2020 services (200 two-year contracts) $192.000

October 2018-September 2019 services (200 one-year contracts) 120,000

Total $312.000

As a result of the above. Orange Cable should report as gross income for 2019:

• $ 54.000
• $ 78.000
• $ 258.000
• $ 312,000