Revenue Disclosures

6 Months Ended

Jun. 19, 2022

Revenue from Contract with Customer [Abstract]

Revenue Disclosures

6. Revenue Disclosures

Contract Liabilities

Contract liabilities primarily consist of deferred franchise fees and deferred development fees. Deferred franchise fees and deferred development fees of $5.5 million and $5.4 million were included in current other accrued liabilities as of June 19, 2022 and January 2, 2022, respectively. Deferred franchise fees and deferred development fees of $23.8 million and $24.3 million were included in long-term other accrued liabilities as of June 19, 2022 and January 2, 2022, respectively.

Changes in deferred franchise fees and deferred development fees for the two fiscal quarters of 2022 and the two fiscal quarters of 2021 were as follows:

	Two Fiscal Quarters Ended
	June 19,			June 20,
	2022			2021
Deferred franchise fees and deferred development fees at beginning of period	$	29,694		$	19,090
Revenue recognized during the period		(2,855	)		(2,691	)
New deferrals due to cash received and other		2,448			3,805
Deferred franchise fees and deferred development fees at end of period	$	29,287		$	20,204

Advertising Fund Assets

As of June 19, 2022, advertising fund assets, restricted of $182.5 million consisted of $164.1 million of cash and cash equivalents, $13.5 million of accounts receivable and $4.9 million of prepaid expenses. As of June 19, 2022, advertising fund cash and cash equivalents included $7.4 million of cash contributed from U.S. Company-owned stores that had not yet been expended.

As of January 2, 2022, advertising fund assets, restricted of $180.9 million consisted of $161.7 million of cash and cash equivalents, $14.5 million of accounts receivable and $4.7 million of prepaid expenses. As of January 2, 2022, advertising fund cash and cash equivalents included $7.2 million of cash contributed from U.S. Company-owned stores that had not yet been expended.