Question

Briefly explain Accounting treatment for royalty in the books of
Lessor and Lessee.

Answer 1

Answer:

Royalty is the sum payable by the lessee to the lessor for the use of rights vested in the lessor. It is a periodic payment. It is generally paid on the basis of output or sale. Whereas, royalty received on the basis of sales is credited to Profit & Loss A/c.

Explanation:

Hope it help u and please make me brainlist and please follow