Summit Corporation currently has a $70,000 capital loss carryforward that is due to expire at the end of 2019. During 2019, Summit sold land for $750,000. Summits basis in the land was $600,000. The gain on this sale is classified as capital gain, and Summit does not plan to realize any additional capital gains or losses during 2019, 2020, or 2021.

Under the terms of the sale, the buyer has agreed to pay Summit $250,000 in each year 2019, 2020, and 2021. Assuming Summits tax rate is 35% and that it uses a discount rate of 9% in its tax planning decisions, decide whether Summit should elect out of using the installment method for recognizing the gain on this sale. In addition to any calculations, your answer should include a short statement explaining your conclusion.