Verified answer

What Record Companies (Labels) can/will do depends on the company and the contract.

It all comes down to an agreement based on their perceived value to you and vice versa.

It could be a simple contract like the production of your music, or through to distribution, advertising & promotion and costs etc.

Some bands produce their own music and then get the labels to distribute & market the music. This is quite a good way to start out because you already have a product to "sell" and there is less risk for the label. This way the record company is likely to pick up post production costs (duplication etc) and marketing. They would certainly want their cut though!! Whether touring etc and costs covered is a part of that would be down to the negotiation of the contract.

Every part of the process and who pays/gets what, is generally laid out at the start and covered in the contract.