Multiple Choice
Gore Inc. recorded a liability in 2013 for probable litigation losses of $2 million. Ultimately, $5 million in legitimate warranty claims were filed by Gore's customers.
A) Gore has made a change in accounting principle, requiring retrospective adjustment.
B) Gore needs to correct an accounting error.
C) Gore is required to adjust a change in accounting estimate prospectively.
D) Gore is not required to make any accounting adjustments.
Correct Answer:
Verified
Correct Answer:
Verified
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