B wrote a book on accountancy and had it published from A on terms that royalties...
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B wrote a book on accountancy and had it published from A on terms that royalties will be 15% on the published price of the copies sold with a minimum of Rs. 10000 per year. B gave an undertaking to revise the book when requested by the publisher and to pay Rs. 500 to A per month for every month of the delay after six months of the request made by A. In the event of delay, the condition of the minimum amount Rs. 10000 payable to B was not applicable. This arrangement was to last for 10yrs, in the 1st instance. The number of copies sold and published is as follows: At end of 1997, B was requested to revise the book. The revised manuscript reached A only on 1st November 1998. Pass the journal entries and prepare ledger accounts in the books of A and B. B wrote a book on accountancy and had it published from A on terms that royalties will be 15% on the published price of the copies sold with a minimum of Rs. 10000 per year. B gave an undertaking to revise the book when requested by the publisher and to pay Rs. 500 to A per month for every month of the delay after six months of the request made by A. In the event of delay, the condition of the minimum amount Rs. 10000 payable to B was not applicable. This arrangement was to last for 10yrs, in the 1st instance. The number of copies sold and published is as follows: At end of 1997, B was requested to revise the book. The revised manuscript reached A only on 1st November 1998. Pass the journal entries and prepare ledger accounts in the books of A and B.
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0073382395
9th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
Posted Date:
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