Which Represents the Most Significant Risk Associated with Restructuring Liabilities

Multiple Choice

Which represents the most significant risk associated with restructuring liabilities on the financial statements?

A) Understatement of assets in the period of recording the liabilities.
B) Future smoothing of income by releasing the reserves.
C) Related party transactions that are not recorded at arms-length.
D) Payroll liabilities that are not disclosed in the notes.