Accounting treatment for these issues

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Hi everyone, first time making a post here!

I had 2 questions I'd really hope someone could answer. Basically, they pertain to how one would account for such issues.

1) The first issue is related to naming rights. Suppose a sports team gives the naming rights of its stadium to a company for an upfront, initial fee, followed by a fee each year. Also, suppose the contract is for 3 years. Would you recognize the initial upfront fee as revenue immediately and then recognize the periodic fee as revenues in each year they are paid? Or would everything be recognized immediately?

The second issue is this. Suppose you fire a player from your team. His contract specified that he would have to get paid a certain amount of money regardless if he plays or not for the next 4 years. Would you immediately expense that amount of salary when you fire him? OR would you continue to recognize the expense gradually over the next 4 years?

Thanks a lot!
 

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