Barter Arrangements |
6 Months Ended |
|---|---|
Jul. 31, 2022 | |
| Barter Arrangements [Abstract] | |
| BARTER ARRANGEMENTS | BARTER ARRANGEMENTS The Company has a bartering arrangement with a third-party vendor, whereby the Company will provide inventory in exchange for media credits. The Company exchanged $3.0 million and $3.9 million of inventory for certain media credits during the thirteen and twenty-six weeks ending July 31, 2022. The Company did not exchange any inventory for certain media credits during the thirteen and twenty-six weeks ending August 1, 2021.
The contribution to the Company's gross profit from its bartering arrangement was $6.5 million and $8.2 million during the thirteen and twenty-six weeks ending July 31, 2022. There was no contribution to the Company's gross profit from its bartering arrangement during the thirteen and twenty-six weeks ending August 1, 2021.
The Company had $14.1 million and $3.4 million of unused media credits remaining as of July 31, 2022 and January 30, 2022, respectively, which is included in “Prepaid and other current assets” on the accompanying condensed balance sheet.
The Company accounts for barter transactions under ASC Topic No. 845 “Nonmonetary Transactions.” Barter transactions with commercial substance are recorded at the estimated fair value of the products exchanged, unless the products received have a more readily determinable estimated fair value. Revenue associated with barter transactions is recorded at the time of the exchange of the related assets.
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