Salem Corporation engages in complex sales contracts. As the auditor you are trying to determine if revenue should be recognized on a group of contracts. Which of the true with respect to the recognition of revenue:

Multiple Choice

Revenue should be recognized if it is at least more likely than not that the revenue will be collected.

Revenue should be recognized in all cases when it has been earned.

Revenue should be recognized only if it is at least probable that the contract amounts will be collected.

Revenue should be recognized if it is at least certain that the contract amounts will be collected.