Kyle Sold Land on the Installment Basis for $100,000

Multiple Choice

Kyle sold land on the installment basis for $100,000.His basis in the land was $70,000.Kyle received a $40,000 down payment and a real estate installment sale contract calling for $60,000 in additional payments in future years.In addition,Kyle paid $6,000 in commissions on the sale.What is the gross profit to be recognized in the current year?

A) $0
B) $9,600
C) $12,000
D) $24,000