How much is the amount of revenue from continuing franchise

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Reference no: EM132724987

On January 2, 2020, BLACK CORP. entered into a franchise agreement with a SANTOS TRADING allowing it to do business under BLACKS' name. BLACK CORP. had performed substantially all required services by January 2, 2020, and the franchisee paid the initial franchise fee of P70,000 in full on that date. The franchise agreement specifies that the franchisee must pay a continuing franchise fee of P6,000 monthly, of which 20% must be spent on advertising by BLACK CORP.

Problem 1: How much is the amount of revenue from continuing franchise fee?

Reference no: EM132724987

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