Budget of expected minimum revenues under the contract.
Assuming the contract is valid, prepare the following financial analyses:
a. Prepare a budget of expected minimum revenues under the contract. Show the sources of revenues from the set of five films and the fee.
b. What are the general revenue recognition criteria established under Generally Accepted Accounting Principles (GAAP)
c. How would you apply the GAAP criteria for revenue recognition to account for the revenues under this contract? Explain your logic for both realizable and earned.