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How would this transaction be recorded

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Question - In the Netflix: Valuing a New Business Model - Consider a situation where on Jan. 2, 2011, Netflix acquired new content for a cost of $300 (paying $100 in cash and agreeing to pay the remainder in 90 days. The content has a useful life of 3 years and zero salvage value. How would this transaction be recorded in 2011 if the content was: (a) DVDs, amortized using the "sum of the months" accelerated method; (b) licensing fees for known streaming content, amortized using the straight-line method; or (c) licensing fees for unknown titles?

Reference no: EM132894304

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