Jones Corporation enters into a contract with Warner Video to add their programs to Jones’ network. Warner will pay Jones an upfront fixed fee of $250,000 for 12 months of access, and will also pay a $100,000 bonus if Jone’s users access Warner Video for at least 10,000 hours during the 12 month period. Jones estimates that it has a 60’s chance of earning the $100,000 bonus. Refer to Jones Corporation upon collection of the upfront fee, jones would recognize alan. a. prepaid revenue of $250,000 b. prepaid revenue of $350,000 c. prepaid revenue of $350,000 d. prepaid revenue of $250,000Show transcribed image text Jones Corporation enters into a contract with Warner Video to add their programs to Jones’ network. Warner will pay Jones an upfront fixed fee of $250,000 for 12 months of access, and will also pay a $100,000 bonus if Jone’s users access Warner Video for at least 10,000 hours during the 12 month period. Jones estimates that it has a 60’s chance of earning the $100,000 bonus. Refer to Jones Corporation upon collection of the upfront fee, jones would recognize alan. a. prepaid revenue of $250,000 b. prepaid revenue of $350,000 c. prepaid revenue of $350,000 d. prepaid revenue of $250,000
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