Exhibit 17-5 Kusick Co $\quad$ $\quad$ $\quad$ 4,800
Notes Receivable

Exhibit 17-5 Kusick Co. sold a franchise at an initial franchise fee of $15,000. A down payment of $4,800 was received with the balance covered by the issuance of a $10,200, 6% note payable by the franchisee in four equal annual installments. The refund period has expired and the collectibility of the note is reasonably assured.
-Refer to Exhibit 17-5. If all material services have been substantially performed, which entry to record the franchise is correct?

A) Cash $\quad$$\quad$$\quad$ 4,800
Notes Receivable $\quad$$\quad$ 10,200
Franchise Revenue $\quad$$\quad$ 15,000

B) Cash $\quad$$\quad$$\quad$ 4,800
Notes Receivable $\quad$$\quad$ 10,200
Unearned Franchise Fees $\quad$ 10,200
Franchise Revenue $\quad$$\quad$ 4,800

C) Cash $\quad$$\quad$ 4,800
Unearned Franchise Fees $\quad$$\quad$ 4,800

D) Cash $\quad$$\quad$$\quad$ 4,800
Notes Receivable $\quad$$\quad$ 10,200
Unearned Franchise Fees $\quad$$\quad$ 15,000