3. A clothing store maintains a loyalty program for its customers. For every purchase, members receive points that do not expire. In fiscal 20X0, the store made sales of $1 million and awarded 50,000 points that have a fair value of $50,000. The company estimates that approximately 75% of these points will be redeemed by members. Members redeemed 10,000 points in fiscal 20X1. Which statement is correct?