In spring of this year, Parmac Engineering Company signed a $192 million contract with the city of Parkersburg, to construct a new city hall. Parmac expects to construct the building within two years and incur expenses of $144 million. The city of Parkersburg paid $48 million when the contract was signed, $196 million within the next six months, and the final $48 million exactly one year from the signing of the contract. Parmac incurred $58 million in costs during the year and rest in the following year to complete the contract on time.

Using the cost-to-cost method how much revenue should Parmac recognize in the current year?

A) $ 48 million

B) $ 77 million

C) $ 86 million

D) $144 million

E) None of these are correct.