?

Esker Inc. specializes in real estate transactions other than
retail land sales. On January 1, year 1, Esker consummated a sale
of property to Kame Ltd. The amount of profit on the sale is
determinable and Esker is not obligated to perform any additional
activities to earn the profit. Kame’s initial and continuing
investments were adequate to demonstrate a commitment to pay
for the property. However, Esker’s receivable may be subject to
future subordination. Esker should account for the sale using the