• Filing Date: 2020-10-15
  • Form Type: 10-Q
  • Description: Quarterly report
v3.20.2
4. REVENUE RECOGNITION
3 Months Ended
Aug. 31, 2020
Revenue from Contract with Customer [Abstract]  
4. REVENUE RECOGNITION

Monthly Management Fee

 

The Company generates monthly management revenues from fees for labor and benefit costs. The Company recognizes revenue for these services in the month the labor and benefits are received by the customer. Monthly management fee revenues of $1,538,487 and $1,947,682 were recognized for the three months ended August 31, 2020 and 2019, respectively.

 

Quarterly Management Fee

 

The Company generates management fee revenue each quarter. The Company recognizes revenue over the applicable quarter on a straight-line basis. The management fee is billed quarterly in advance. As a result, we have recorded deferred revenue for services that have not been provided of $45,833 as of August 31, 2020 and 2019. Quarterly management fees recognized for the three months ended August 31, 2020 and 2019 were $137,500.