The cost$-$recovery method

Question $13$ options:

$1)$

is prohibited under current GAAP due to its conservative nature.

$2)$

requires a company to defer profit recognition until all cash payments are received from the buyer.

$3)$

is used by sellers when there is a reasonable basis for estimating collectibility.

$4)$

recognizes total revenue and total cost of goods sold in the period of sale.