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In response to these financial backlashes, studios shifted to net profit deals, compelling actors to receive portions of profits post-expenses. This move was initially structured to encourage actors to propagate their films successfully. But what ensued was an intricate web of accounting strategies aimed at rendering lucrative films financially unconvincing.
The Mechanics of Manipulation
In the shadows of Hollywood, executives devise schemes to ensure artists continue receiving less. Consider a hypothetical film titled Good Work: The Movie. After budgeting $20 million for production and marketing, expectations are set to recoup a hefty $100 million at the box office.