Question

(For transfer of royalties receivable Account to P & L Account)
Q.10. What is Royalty ? What are its types ? What is the
difference between Royalty and Rent ?
Inance of some special type of assets​

Answer 1

Answer:

royalty is a form a rent but in royalty we make an agreement for long period of time .

for eg.a took the shop on royalty for 12 years

Explanation:

difference between royalty and rent may be like

royalty is given on yearly basis

whereas rent is given on montly basis and agreement may be made on one year basis

Answer 2

Answer:

A royalty is a legally-binding payment made to an individual, for the ongoing use of his or her originally-created assets, including copyrighted works, franchises, and natural resources. But royalties are predominantly associated with musicians, who receive such payments whenever their originally-recorded songs are played on the radio or television, used in movies, performed at concerts, bars, and restaurants, or consumed via streaming services. In most cases, royalties are revenue generators specifically designed to compensate the owners of songs or properties, when they license out their assets for another party's use.

There are three types of Royalty

1 - Copyright

2 - mining Royalty

3 - Patent Royalty