During 2021, GH Company became involved in a tax dispute with the BIR. On December 31,...

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During 2021, GH Company became involved in a tax dispute with the BIR. On December 31, 2021, the entity's tax advisor believed that an unfavorable outcome was probable, and the best estimate of additional tax was P500,000 but could be as much as P650,000. After the 2021 financial statements were issued, the entity received and accepted a BIR settlement offer of P550,000. What amount of accrued liability should be reported on December 31, 2021? During 2021, GH Company became involved in a tax dispute with the BIR. On December 31, 2021, the entity's tax advisor believed that an unfavorable outcome was probable, and the best estimate of additional tax was P500,000 but could be as much as P650,000. After the 2021 financial statements were issued, the entity received and accepted a BIR settlement offer of P550,000. What amount of accrued liability should be reported on December 31, 2021?

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