The Ultimate Frisbee League (UFL) licenses its trademark to Tank-Skin Apparel. Under the license arrangement, Tank-Skin pays the UFL a $1 million initial license fee plus a bonus when annual sales of Tank-Skin merchandise reach a threshold. The license agreement is for 4 years.

How much of the $1 million initial license fee should the UFL recognize as revenue in the first year of the contract?

Answer rating: 100% (QA)

250000 Because the UNFLs ongoing activities affect th... View the full answer