Sunland Company sells on credits goods that cost $304,000 to Ricard Company for $394,000 on January 2, 2017. The sales price includes an installation fee, which has a standalone selling price of $38,000. The standalone selling price of the goods is $356,000. The installation is considered a separate performance obligation and is expected to take 6 months to complete. (a) Prepare the journal entry (if any) to record the sale on January 2, 2017.

(b) Sunland prepares an income statement for the first quarter of 2017, ending on March 31, 2017 (installation was completed on June 18, 2017). How much revenue should Sunland recognize related to its sale to Ricard?