Solved

The State of Alabama Filed Suit Against Edwards Chemical Company

Question 309

Multiple Choice

The State of Alabama filed suit against Edwards Chemical Company for violations of water pollution laws in 2015.During 2015,the company accrued a $250,000 loss for litigation.At the end of 2016,Edwards was able to settle with the State for $205,000.What entry should Edwards make when it pays the State in December,2016?


A) The State of Alabama filed suit against Edwards Chemical Company for violations of water pollution laws in 2015.During 2015,the company accrued a $250,000 loss for litigation.At the end of 2016,Edwards was able to settle with the State for $205,000.What entry should Edwards make when it pays the State in December,2016? A) Cash 205,000 B) Cash 205,000 C) Cash 205,000 D) Cash 205,000 Cash 205,000
B) The State of Alabama filed suit against Edwards Chemical Company for violations of water pollution laws in 2015.During 2015,the company accrued a $250,000 loss for litigation.At the end of 2016,Edwards was able to settle with the State for $205,000.What entry should Edwards make when it pays the State in December,2016? A) Cash 205,000 B) Cash 205,000 C) Cash 205,000 D) Cash 205,000 Cash 205,000
C) The State of Alabama filed suit against Edwards Chemical Company for violations of water pollution laws in 2015.During 2015,the company accrued a $250,000 loss for litigation.At the end of 2016,Edwards was able to settle with the State for $205,000.What entry should Edwards make when it pays the State in December,2016? A) Cash 205,000 B) Cash 205,000 C) Cash 205,000 D) Cash 205,000 Cash 205,000
D) The State of Alabama filed suit against Edwards Chemical Company for violations of water pollution laws in 2015.During 2015,the company accrued a $250,000 loss for litigation.At the end of 2016,Edwards was able to settle with the State for $205,000.What entry should Edwards make when it pays the State in December,2016? A) Cash 205,000 B) Cash 205,000 C) Cash 205,000 D) Cash 205,000 Cash 205,000

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q60: When an income statement error that does

Q67: In a sales-type capital lease, the lessor

Q83: Which of the following statements regarding a

Q92: A company reconciles net income to net

Q128: The conceptual model for the statement of

Q307: Humphrey Contractors purchased customized equipment in January,2015

Q310: On February 1 of the current year,Greenstein

Q311: In 2017,BayKing Company sold used equipment for

Q313: Changes in methods of depreciation are changes

Q314: All of the following would appear as