Film and television costs - accounting policies, Accounting Basics

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Q. Film and television costs- accounting policies?

Film as well as television production and participation costs are expensed based on the ratio of the current period's gross revenues to estimated total gross revenues from all sources on an individual production basis. Approximation of total gross revenues is reviewed periodically and amortization is adjusted accordingly.

Television broadcast rights are amortized primarily on an accelerated basis over the estimated useful lives of the programs.

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