For Each Independent Situation

Question

Examlex · Accepted Answer

The Answer is 1.The loss is probable and has to be provided for.Expected value techniques may be used to determine the amount of the obligation.
[($300,000 × 70%)+ ($230,000 × 20%)+ ($140,000 × 10%)]

1.The loss is probable and has to be provided for.Expected value techniques may be used to determine the amount of the obligation. [($300,000 × 70%)+ ($230,000 × 20%)+ ($140,000 × 10%)] 2.A journal entry is not required.Rather,the $2,500,000 must be disclosed as a current liability in the 2018 financial statements as renewal was not effected before year-end.The fact that the bank agreed to renew the loan after year-end,but before the statements were authorized for issue,is disclosed as a non-adjusting event in the notes to the financial statements.

2.A journal entry is not required.Rather,the $2,500,000 must be disclosed as a current liability in the 2018 financial statements as renewal was not effected before year-end.The fact that the bank agreed to renew the loan after year-end,but before the statements were authorized for issue,is disclosed as a non-adjusting event in the notes to the financial statements.

For Each Independent Situation

Essay

Correct Answer:
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For Each Independent Situation

Essay

Correct Answer:VerifiedShow Answer

Correct Answer:
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