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Unformatted text preview: Another factor in the decision was ESPN management's concern that if ESPN didn't win the bid, a buyer would emerge that would use Monday Night Football as a launching pad for a new sports network. ESPN doesn't want any more competitors than it already has. It is hard to put a price tag on the value of keeping the competition to a minimum. How should ESPN account for the $1.1 billion per year franchise fee? Answer: Since this is an annual franchise fee, ESPN should expense it each year, rather than capitalizing and amortizing it....
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- Spring '11