Suppose the analysis of a loss contingency indicates that an obligation is not probable. What accounting treatment

Question:

Suppose the analysis of a loss contingency indicates that an obligation is not probable. What accounting treatment if any is warranted?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Intermediate Accounting

ISBN: 9781259722660

9th Edition

Authors: J. David Spiceland, James Sepe, Mark Nelson, Wayne Thomas

See More Books

Question Posted: Jul 02, 2013 06:33 AM

See More Questions

The analysis of a large antenna was presented in Problem P4.5. Sketch the root locus of the system as 0 < ka < . Determine the maximum allowable gain of the amplifier for a stable system.
If the probability of a loss contingency is remote, is it necessary for a firm to accrue or disclose it? Explain.
Using the computer. The analysis of a contingency table can be conveniently done on a computer. For an illustration, we present here a MINITAB analysis of the data in Table 6, Example 5. (a) Compare...
The IQ and VIQ are tools insurance producers use to learn more about internal assumptions regarding factors that ultimately control policy performance. They have information in all of the following...
Show how you would use simple chemical tests to distinguish between the following pairs of compounds. In each case, describe what you would do and what you would observe. (a) Butan-1-ol and...
Beginning inventory 100 units @ $8.00 = $ 800 Purchase # 1 200 units @ $6.00 = 1,200 Purchase # 2 100 units @ $12.00 = 1,200 Total 400 units $3,200 Ending inventory is 150 units. 1. What is cost of...
Derringer and Suich ("Simultaneous Optimization of Several Response Variables," Journal of Quality Technology, 1980) studied the relationship of an abrasion index for a tire tread compound in terms...
This is the third year audit of Green Lawns. The company has carved out a new market niche on the Web for the delivery of lawn and garden supplies, including links with local companies that provide...
At the beginning of 20x7, the accounts receivable had a beginning balance of $20,000 and allowance for doubtful accounts had a beginning credit balance of 3,000. The following information occurs...
All Sports Companys production manager, Chris Adler, had requested to have lunch with the company president. Adler wanted to put forward his suggestion to add a new product line. As they finished...
What is the difference between the use of the term contingent liability in U.S. GAAP and IFRS?
Name two loss contingencies that almost always are accrued.
Sloan Trailers' job cost records yielded the following information: Requirement 1. Use the dates in the table to identify the status of each job. Compute Sloan's cost of (a) Work in process inventory...
What is being assessed sed with these following personality test? BIG 5 personality test Locus of control personality test TypeA personality test self-control and self-monitoring personality test...
Explain the psychoanalytic approach to personality Explain the humanistic theories Describe the trait theories of personality Describe the learning approaches to personality Explain how personality...
In this discussion, we will explore personality disorders. Personality disorders are characterized by traits that lead to maladaptive behaviors. View the following resources on personality disorders:...
Accounting and financial reporting for governmental entities, including fund accounting, special funds, and government wide financial statements. Retrieve a recent Comprehensive Annual Financial...
Find three scholarly articles that relate to a personality disorder of your choice (List is below) Summarize the findings per article. Paranoid Personality Disorder (Cluster A) Schizoid Personality...
GP Ltd sold goods of MRP 10,000 to Nitish at 15% trade discount in cash. Show the journal entry for this transaction, in the books of GP Ltd and books of Nitish.
The purpose of this case is to come up with a contingency plan[s] in order to sustain the program Move With Me, a program that serves thousands of community members throughout Lower Manhattan. The...
Bobs SAT preparation service claims that the course it offers enables students to score an average of 600 or better on the math portion of the SAT. Suppose a random sample of 25 people taking the...
In an article that appeared in the Wall Street Journal, the phrases phantom (paper) profits and high LIFO profits through involuntary liquidation were used. Explain these phrases.
In an article that appeared in the Wall Street Journal, the phrases phantom (paper) profits and high LIFO profits through involuntary liquidation were used. Explain these phrases.
In an article that appeared in the Wall Street Journal, the phrases phantom (paper) profits and high LIFO profits through involuntary liquidation were used. Explain these phrases.
Frank is 82 years old.His wife died 5 years ago.He died and left the following assets: Principal residence 859,000 (individually owned: ACB 350,000) RRIF $235,000 (Beneficiary adult daughter ACB...
Assume that Pope Enterprises held a $10,000, 10 percent, six-month note signed by Mary Drew. On December, 1, 2015, the maturity date, Drew dishonored the note. At this point, Drew owes a total of...
5. Consider the shape shown on the following graph and the brute force method of solving the convex hull problem 2 -2 -1 0 a. Label all the points that will be provided to the algorithm as input. You...

Suppose the analysis of a loss contingency indicates that an obligation is not probable. What accounting treatment

Question:

Step by Step Answer:

If one or both of the accrual criteria is not met but there is at least ...View the full answer

Intermediate Accounting

Students also viewed these Accounting questions