When accounting for sales where the risk of non-collection of installments is high or when there is no reasonable basis for estimating uncollectible accounts,IFRS

A) requires use of the installment sales method.
B) permits either the cost recovery or the installment sales method.
C) takes a more conservative approach than that allowed under U.S.GAAP.
D) takes a less conservative approach than that allowed under U.S.GAAP.

Installment Sales Method

An accounting method used to recognize revenue when payments are received over time in installments, rather than at the point of sale.

Cost Recovery Method

An accounting technique used for recognizing revenue only once the costs of the sold goods or services have been recovered.

Uncollectible Accounts

Also known as bad debts, these are receivables that a business is unable to collect, often leading to their write-off as an expense.