Question
McDonald's Corporation is analyzing its revenue recognition policies for the quarter ending March 31, 20X9. The following data is provided: Sales Revenue Recognized: $50,000,000
McDonald's Corporation is analyzing its revenue recognition policies for the quarter ending
March 31, 20X9. The following data is provided:
● Sales Revenue Recognized: $50,000,000
● Deferred Revenue at the Beginning: $5,000,000
● Deferred Revenue at the End: [Calculation 1]
● Cash Collected from Customers: $45,000,000
Calculate the following:
a) Ending Deferred Revenue b) Recognized Revenue Ratio c) Deferred Revenue Turnover d)
Impact on Net Income
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Financial Statement Analysis and Security Valuation
Authors: Stephen Penman
5th edition
78025311, 978-0078025310
