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Reliable Enterprises sells distressed merchandise on extended credit terms. Collections on these sales are not reasonably assured, and bad debt losses cannot be reasonably predicted. It is unlikely that repossessed is in condition to be re-sold. Therefore, Reliable uses the cost recovery method. Merchandise costing $31, 500 was sold for $55, 500 m 2015. Collections on this sale were $19, 800 In 2015, $15, 200 in 2016, and $20, 500 in 2017. In its 2016 year-end balance sheet Rellable would report installment receivables (net) of: $20, 500, $15, 200, $9, $7,000