Question · Repurchase, consignment and bill-and-hold arrangements

Grues Atlas sells a mobile crane for EUR 800,000 to a public works company. The contract requires Grues Atlas to repurchase the crane in 3 years for EUR 800,000 if the customer so requests. At contract inception, Grues Atlas estimates (case data) that the market value of the crane at the repurchase date will be EUR 950,000, owing to strong demand and rising prices for new cranes. Write a reasoned memo on the classification of this arrangement and on the resulting accounting treatment at the date of sale, distinguishing what is a rule from what is judgement.