GREY:LGLTF - Post by User
Comment by
schoolboyon Feb 27, 2016 8:09pm
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Post# 24602500
RE:RE:RE:Schoolboyis right about commissions from the past from RYU
RE:RE:RE:Schoolboyis right about commissions from the past from RYUCalculating unearned revenue accurately is a very complex task in this business.
For example, at the end of every quarter, you must determine how much each current student has consumed of the paid portion of her program. Some students pay week-to-week. Others pay years in advance. Yet others pay late. Then, in the middle, there are the agents, who have their own idiosyncrasies. I know of one school chain that has recently written off over $100,000 in debt from one agent.
Students can start on any Monday and study for as many weeks as they like. One never knows for sure whether they will extend or cancel.
Students often interrupt their programs, due to illness, family problems, etc.
Many students who apply never show. For example, Africans frequently apply but almost never get visas and don't even bother to cancel.
The only way to accurately determine a/r is to have a competent person review each student's profile. It's unlikely that any auditor would do that. I doubt that BMO did. They should have.