Common use of Project Accounting Clause in Contracts

Project Accounting. VIDEONE shall keep and maintain a separate and distinct accounting record for all costs associated with VIDEONE's activities under this Agreement. CLIENT shall maintain a checking account in a manner consistent with the costs which VIDEONE incurs in connection with the marketing and distribution of the Show and Product, and in no event shall CLIENT allow said checking account to fall short of such liabilities. CLIENT expressly acknowledges that VIDEONE shall be paid the management fee set out above (Addendum B) associated with VIDEONE's activities under this Agreement prior of CLIENT's share of proceeds. ADDENDUM C THE WRINKLE PATCH ESTIMATE OF EXPENSES PRIOR TO FINAL SCRIPT & CASTING PRODUCTION AMOUNT UNITS RATE TOTAL ------------------------------------- WRITER/RESEARCH 2 WKS 1500 3000 RE-WRITE 1 WKS 1500 1500 PRODUCER/PREP 2 WKS 1650 3300 PRODUCER/SHOOT 2 DAY 500 1000 PRODUCER/SHOOT 10 1/2 DAY 300 3000 DIRECTOR/PREP 2 WKS 1750 3500 DIRECTOR/SHOOT 2 DAY 750 1500 DIRECTOR/SHOOT 10 1/2 DAY 400 4000 STILL PHOTOGRAPHY 4 1/2 DAY 600 2400 CAMERA CREW 10 1/2 DAY 850 8500 STUDIO SHOOT 2 DAY 1900 3800 TEST/MODELS 10 ALLOW 500 5000 HOST (2) 4 DAY 1200 4800 SET & DESIGN 1 ALLOW 3500 3500 PROPS 1 ALLOW 750 750 FLOWERS 1 ALLOW 500 500 CATERING 1 ALLOW 750 750 PROD. ASSISTANT 2 WKS 850 1700 PROD. ASSISTANT 1 WKS 850 850 HAIR AND MAKE-UP 2 DAY 350 700 PROD. ASSISTANT/SHOOT 12 DAY 200 2400 TRAVEL EXPENSES 1 ALLOW 5000 5000 LOCATION EXPENSES 6 ALLOW 350 2100 TAPE STOCK 30 30M 30 900 -------------------------------------------------------------- TOTAL PRODUCTION 64,450 ADDENDUM C POST-PRODUCTION AMOUNT UNITS RATE TOTAL ---------------------------------- POST PROD SUPERVISOR 3 WKS 1500 4500 EDIT - LOG 45 HRS 75 3375 EDIT - OFFLINE - EFFECTS 60 HRS 120 7200 EDIT - OFFLINE - ANIMATION 120 HRS 110 13200 DIRECTOR/EDIT OFFLINE 120 HRS 120 14400 EDIT - ONLINE 60 HRS 150 9000 ADDITIONAL ONLINE LABOR 60 HRS 35 2100 SCRATCH VO 1 ALLOW 300 300 ONLINE VO 1 ALLOW 700 700 RECORDING SESSIONS 1 ALLOW 350 350 TITLES AND GRAPHICS 1 ALLOW 3000 3000 ANIMATION 1 ALLOW 5500 5500 3-D LOGO AND TITLE 1 ALLOW 1750 1750 MUSIC BED 1 ALLOW 650 650 VHS DUBS AND SHIPPING 100 T-30 6 600 SHIPPING 12 WKS 100 1200 LEGAL 1 ALLOW 1500 1500 ACCOUNTING 12 WKS ▇▇▇ ▇▇▇▇ PHONE/OFFICE EXPENSES 12 WKS 250 3000 -------- TOTAL POST-PRODUCTION 77,125 --------------------------------------------------------------- SUB-TOTAL ALL PRODUCTION 141,575 PRODUCTION FEE (10%) 14,158 INSURANCE (3%) 4,247 -------- TOTAL COST $159,980 --------------------------------------------------------------- VIDEONE MARKETING, INC. CONSIDERATION 50% OF BUDGET $ 79,990 AMOUNT DUE VIDEONE MARKETING, INC. FROM SPA-SANTE $ 79,900 COMMERCIALS: 120, 60 & 30 AMOUNT UNITS RATE TOTAL ---------------------------------- WRITER 2 DAY 500 1000 ON-LINE 3 DAY 1500 4500 VO-TALENT 1 ALLOW 200 200 VO RECORD 1 ALLOW 180 180 TITLES AND GRAPHICS 1 ALLOW 750 750 TAPE STOCK 3 5M 25 75 -------- SUB-TOTAL 6705 PRODUCTION FEE (10%) 671 INSURANCE (3%) 201 -------- TOTAL COST $ 7,577 --------------------------------------------------------------- VIDEONE MARKETING, INC. CONSIDERATION 50% OF BUDGET $ 3,788 AMOUNT DUE VIDEONE MARKETING, INC. FROM SPA-SANTE $ 3,788 TOTAL DUE VIDEONE MARKETING, INC. FOR PRODUCTION $ 83,778 ADDENDUM D INFOMERCIAL TRAFFICING (TEST-INFOMERCIAL) AMOUNT UNITS RATE TOTAL -------------------------------- 800 NUMBERS 25 #'S 180 4500 PRICE CHANGE 1 ALLOW 240 240 BROADCAST 3/4" 50 ALLOW 78.5 3925 BROADCAST 1" 20 ALLOW 107.5 2150 BETA CAM 10 ALLOW 89.5 895 SHIPPING (FED/EX) 80 ALLOW 20 1600 SHIPPING (COUNTER) 5 ALLOW 65 325 VHS DUBS 120 TAPES 2 240 ADDITIONAL TRAFFICING 110 ALLOW 10 1100 MESSENGER 10 ALLOW 20 200 TOTAL 15,175 PRODUCTION FEE (10%) 1,518 INSURANCE (3%) 455 -------- TOTAL COST $ 17,148 ------------------------------------------------------------------------ DISCOUNT 10% $ 1,715 TOTAL DUE $ 15,433 INFOMERCIAL TRAFFICING (COMMERCIAL) AMOUNT UNITS RATE TOTAL -------------------------------- 800'S 15 #'S 60 900 BROADCAST 3/4" 30 ALLOW 48.5 1455 BROADCAST 1" 10 ALLOW 77.5 775 BETA CAM 5 ALLOW 69.5 347.5 SHIPPING (FED/EX) 45 ALLOW 20 900 SHIPPING (COUNTER) 3 ALLOW 65 195 VHS DUBS 80 TAPES 2 160 ADDITIONAL TRAFFICING 66 ALLOW 10 660 MESSENGER 6 ALLOW 20 120 TOTAL 5,512.5 PRODUCTION FEE (10%) 551 INSURANCE (3%) 165 -------- TOTAL COST $ 6,229 ------------------------------------------------------------------------ DISCOUNT 10% $ 623 TOTAL DUE $ 5,606 ADDENDUM D FULFILLMENT, TELEMARKETING, BANKING, ACCOUNTING, ADMINISTRATION SET-UP THROUGH TESTING (SEE LIST) AMOUNT UNITS RATE TOTAL -------------------------------- ▇▇▇▇▇ LOVE 12 WKS 900 10800 ACCOUNTING/BANKING 12 WKS 500 6000 TOTAL $ 16,800 ------------------------------------------------------------------------ DISCOUNT 10% $ 1,680 TOTAL DUE $ 15,120 OUTSIDE FEES - BEYOND THE CONTROL OF VIDEONE MARKETING, INC. FOR ILLUSTRATION PURPOSES ONLY TELEMARKETING AMOUNT UNITS RATE TOTAL -------------------------------- SET-UP 1 ALLOW 750 750 SECURITY DEPOSIT 1 ALLOW 750 750 PROGRAMMING 1 ALLOW 320 320 MONTHLY MINIMUMS 2 MTHS 500 1000 TOTAL $ 2,820 ------------------------------------------------------------------------ FULFILLMENT SET-UP (CONTINUITY) 1 ALLOW 2300 2300 POSTAGE DEPOSIT 1 ALLOW 10000 10000 PROGRAMMING 1 ALLOW 320 320 SHIPPING TO FULFILLMENT 1 ALLOW 2000 2000 MONTHLY MINIMUMS 2 MTHS 500 1000 TOTAL $ 15,620 ------------------------------------------------------------------------ PER KIT EXPENSES BASED ON 9000 UNITS (SUBJECT TO QUOTE) TELEMARKETING 9000 UNITS 2.84 25560 FULFILLMENT 9000 UNITS 2.10 18900 SHIPPING 9000 UNITS 3.00 27000 CREDIT CARD 9000 UNITS 1.50 13500 INVENTORY 9000 UNITS 5.00 45000 SHIPPING BOXES 9000 UNITS 0.50 4500 ADDENDUM F 1. RESPONSIBILITIES OF EACH PARTY VIDEONE CLIENT ITEM