YNA manufactures a range of breakfast cereals from its base in X-land where the currency is the X$. Your role is to prepare the financial statements in accordance with the relevant International Accounting Standards. The Financial Director asks you to look at the following situations with a view to making the necessary provisions or contingencies in the financial statements. YNA are claiming compensation of X$45,000 for breach of copyright. The lawyers of YNA believe that it is probable that they will win the compensation. Over the next few years there will be several changes to both accountancy and quality standards. The company has calculated the expected cost of training staff for these changes of X$60,000. Which should be recognised in the financial statements of YNA? Solution A.Provide for X$45,000 and X$60,000. B.Provide for X$45,000 and do not recognise X$60,000. C.Disclose X$45,000 and provide for X$60,000. D.Disclose X$45,000 and do not provide for X$60,000