JANE creates a franchise for the sale of a particular product, JANE incurs P600,000 initial...
70.2K
Verified Solution
Link Copied!
Question
Accounting
JANE creates a franchise for the sale of a particular product, JANE incurs P600,000 initial direct costs for each franchise granted. At December 31, 20x6, JANE granted the following people franchises that have open accounts with JANE.
| ANNA | BETTY | CHERRY | DANA | |
| Cash paid (down payment) | 200,000 | 200,000 | 200,000 | 200,000 |
| Note unpaid (face 1,000,000) | 700,000 | 400,000 | 910,000 | 550,000 |
| Services completed | 25% | 10% | 95% | 100% |
| Probability of collection | Likely | Unlikely | Unlikey | Likely |
| Continuing franchise fee | 1% of NI | 1% of NI | 1% of NI | 1% of NI |
| Period of refund | 1/31/2017 | 2/28/2017 | 12/30/2016 | 12/30/2016 |
What is the total revenue to be recognized by JANE on December 31, 20x6?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.