How much is Vancouver Company's amortization expense and franchise fee expense for the year 2020?

Q: How much total revenue is recognized from the contract in 20x1?

A:

Q: Sunland Inn charges an initial fee of $ 2,448,000 for a franchise, with $ 489,600 paid when the…

A: The advertising fee is paid for 5 years i.e., for 60 months. Advertising fee for 60 months = 60 x…

Q: Burger King granted a franchise to Shakers where Shakers will have to pay franchise fee of…

A: Given  for question one Shakers where Shakers will have to pay franchise fee of P5,000,000 payable…

Q: Why is internal controls important to prevent fraud?  Why would a proper control system prevent…

A: Internal controls refer to the policies, procedures, and practices implemented within an…

Q: How does payments for tax and licenses affect accounting equation

A: The accounting equation shows that the asset is equal to the sum of liabilities and stockholders'…

Q: ABC sells franchise arrangement throughout La Trinidad and Itogon. Under a franchise agreement, ABC…

A: Franchise is defined as the business form that includes the existing business allow the third party…

Q: Each of ABC's 12 new franchisee contracted to pay an initial franchise fee of P50,000. By December…

A: Only if the the service is performed then the revenue will recognize in the books of accounts.

Q: a. How much is the amortization expense for the year 2021? b. How much is the franchise fee expense…

A: Purchase amount of franchise = 3,125,000 The estimated useful life of the franchise = 10 years…

Q: Nana Restaurant sold a fast-food restaurant franchise to Max Corporation. The sale agreement signed…

A: Revenue from a franchise refers to the total amount of money earned by the franchisor from a…

Q: a. What is the journal entry to record the January 29, 2016 reclassification of the remainder to…

A: The basic records used to record financial transactions in accounting are called journal entries.…

Q: Commando Corp. agrees to sell 100 of its products to M&H Co. for P30,000 in August 2021. (P300 per…

A: The original sale price of the products sold prior to alteration will not be modified. As previously…

Q: What is the carrying value of the franchise at December 31, 2022?  How much is the amortization…

A: As Per Ind As 38 and IAS 38 : - A. An intangible asset is an identifiable non-monetary asset without…

Q: le when the agreement was signed and the balance in five annual payments of P8,000 each. Tam's is…

A: In franchise business, owner of the business which has its business market acceptability along with…

Q: TEN Company provides extended service contracts on equipment sold through major retailers. The…

A: Liabilities are the obligations and dues which needs to be settled by the business. These can be…

Q: Chipotle Inc. grants franchisees the right to operate a franchise using the company’s name, menu,…

A: A Promise contained in the contract to transfer the customer Goods or Services that are distinct. a…

Q: On January 1, 2014, Heart Company signed an agreement to operate as a franchisee of Ace Company for…

A: Acquisition cost of franchise  = cash paid + Present value of future 4 annual payments discounted at…

Q: What is the amount of total income to be reported by Jomig's Grill, Inc. for the year ended December…

A: Revenue recognition over the contract requires to be dealt with careful as it is required to…

Q: On Jan. 1, 2020, ABC Franchisor and XYZ Franchisee signed a franchise contract over the use of ABC's…

A: Franchise contract is legal contract signed by both party franchisor and franchisee. franchisee…

Q: Flapper Jack's Pancake Restaurants Inc. sells franchises for an initial fee of $38,000 plus…

A: Journal Entry is the primary step in recording the transactions in the books of accounts.The…