a) MDS shall account to Label for Records sold by MDS hereunder by rendering a 
   statement after 90 days after the end of each quarterly period ending 
   March 31 (an "Accounting") showing all payments of invoices 
   from Customers relating to sales of Records during that 3 month period 
   together with the Apllicable Fees dues to MDS 
   in respect of its services to Label.

b) When rendering such Accounting MDS shall pay to Label the 
   balance of the monies MDS has actually received from Customers in 
   relation to sales of Records after the deduction of Applicable Fees and 
   any other permissable offsets including without limitation, 
   mechanical royalties, sales tax and the value of any returns of 
   any description.