Accounts Receivable Contract With Nike In Harris
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FAQ
The brand value of Nike has increased year-on-year since 2010 and reached over 53 billion U.S. dollars in 2023. In comparison, the adidas brand was valued at approximately 16.6 billion U.S. dollars in – increasing for the eight consecutive year following two years of decline.
(stylized as NIKE) is an American athletic footwear and apparel corporation headquartered near Beaverton, Oregon. It is the world's largest supplier of athletic shoes and apparel and a major manufacturer of sports equipment, with revenue in excess of US$46 billion in its fiscal year 2022.
Adidas is the largest sportswear manufacturer in Europe, and the second largest in the world, just behind Nike, with a brand value of approximately 15.7 billion U.S. dollars. Just as with Nike, footwear is the most important category for adidas.
Revenues for the NIKE Brand were $34.5 billion, up 5 percent. NIKE Brand sales to wholesale customers increased 2 percent while NIKE Direct revenues grew 12 percent to $10.4 billion, driven by a 25 percent increase in digital commerce sales, the addition of new stores and 4 percent growth in comparable store sales.
Nike's sales soared from $3 million in 1972 to $919 million in the fiscal year 1984, which ended last May 31.
LeBron James: The Billion-Dollar Bet In 2015, Nike doubled down on their faith in him with a lifetime deal rumored to be worth $1 billion. With that deal, LeBron became more than a brand ambassador—he became a Nike icon.
Nike's accounts payable hit its 5-year low in May 2020 of 2.248 billion. Nike's accounts payable decreased in 2020 (2.248 billion, -13.9%), 2023 (2.862 billion, -14.8%), and 2024 (2.851 billion, -0.4%) and increased in 2021 (2.836 billion, +26.2%) and 2022 (3.358 billion, +18.4%).
Contract AR should be entered when the revenue has been earned but not collected. This normally occurs at the time goods or services are provided and should coincide when the invoice is sent. Postponing the recording of contract AR until the payment is received is not encouraged.
Nike's operated at median receivables turnover of 11.6x from fiscal years ending May 2020 to 2024. Looking back at the last 5 years, Nike's receivables turnover peaked in May 2021 at 12.4x. Nike's receivables turnover hit its 5-year low in May 2022 of 10.2x.
Does accounts receivable count as revenue? Accounts receivable is an asset account, not a revenue account. However, under accrual accounting, you record revenue at the same time that you record an account receivable.