Oh sure. For one thing that's the advance American Idol winners get. Of course as with all entertainment industry contracts the key is in the fine print "paying off" (getting your percentage of the album sales that would be paid to you if you hadn't gotten an advance) that advance can be very difficult, and can add albums to your contract if not done quickly enough. There's a reason why in "Last Don" the old mobster warns against getting involved in entertainment, they're too crafty and sneaky for mobsters.
Heh. I know exactly how it works. out of about 8 million dollars in retail sales, a band MAY get approximately 200,000 dollars, after recording, promotion, tour etc... costs are removed, THEN they get to pay their lawyers, agents, etc... and suddenly, it's gone. Poof.
I doubt that any of the American Idol winners are making anywhere near what I make in a year at a regular job. Period.