Final answer:
The cost recovery method is actually used when collectibility is uncertain or can't be reliably estimated, hence the statement is false.
Step-by-step explanation:
The statement that if collectibility is reasonably certain or there is a reliable basis for estimating collectibility, then the cost recovery method is appropriate, is false. The cost recovery method of revenue recognition is typically used when the collectibility of revenue is not reasonably certain or cannot be reliably estimated. In such cases, revenue is recognized only to the extent that cash payments are received.