AAA Co. assigns some of its patents to other enterprises under a variety of licensing agreements. In some instances, advance royalties are received when the agreements are signed, and in others, royalties are remitted within sixty days after each license year-end. The following data are included in AAA Co.'s December 31 balance sheet: 2019 2020 Royalties receivable Unearned royalties 90,000 85,000 60,000 40,000 During 2020 AAA Co. received royalties' remittances of P200,000. How much should AAA Co. report as royalty income in its income statement for the year ended December 31, 2020?

AAA Co. assigns some of its patents to other enterprises under a variety of licensing agreements. In some instances, advance royalties are received when the agreements are signed, and in others, royalties are remitted within sixty days after each license year-end. The following data are included in AAA Co.'s December 31 balance sheet: 2019 2020 Royalties receivable Unearned royalties 90,000 85,000 60,000 40,000 During 2020 AAA Co. received royalties' remittances of P200,000. How much should AAA Co. report as royalty income in its income statement for the year ended December 31, 2020?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

[Based on Appendix C] Explain the difference between the general ledger and a subsidiary ledger.
Accounting princippls
Convert a company’s reported financial statements from LIFO to FIFO for purposes ofcomparison.
Mcqs 1. Copyrights refers to ……. Asset account?2. An example of asset is …………… please answer both questions
Define the term journal.
Define DuPont analysis
6.
Define Transaction exposure
a). Make a list of FASB accounting standards that have been converged with IFRS and b).identify the FASB topic name and ASC number for example, (Standard topic name: ASC XXX-XX-XX-X).
Define book-building (IPO)