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The Clinton Company launched a new sales promotional program. For every 10 chewing gum box tops returned to Clinton, customers receive an attractive prize. Clinton
The Clinton Company launched a new sales promotional program. For every 10 chewing gum box tops returned to Clinton, customers receive an attractive prize. Clinton estimates that 40% of the chewing gum box tops reaching the customer market will not be redeemed. Additional information is as follows: Units Amount 3,000,000 Php3,600,000 Sales of chewing gum (in boxes) Purchase of prizes by Clinton 80,000 Php40,000 Prizes distributed to customers 42,000 At the end of the year, Clinton recognized a provision equal to the estimated cost of potential prizes outstanding. What is the amount of this provision
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