The Roger corporation has a pending court case and the financial adviser indicates that it is likely
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Question:
The Roger corporation has a pending court case and the financial adviser indicates that it is likely that he will have a favorable judgment and receive compensation in an amount that fluctuates between 100,000 and 150,000. What is the accounting treatment for this situation?
Journal entry recognizing the gain for 100,000
nothing is done
Journal entry recognizing the contingent debt for 125,000
Journal entry recognizing the gain for 150,000
Related Book For
Financial and Managerial Accounting
ISBN: 978-1285078571
12th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
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