In Year 4, a contract dispute between Dollis Co. and Brooks Co. was submitted to binding arbitration. In Year 4, each party’s attorney indicated privately that the probable award in Dollis’s favor could be reasonably estimated. In Year 5, the arbitrator decided in favor of Dollis. When should Dollis and Brooks recognize their respective gain and loss?

Dollis’s Gain	Brooks’s Loss

A.

Year 4

Year 4

B.

Year 5

Year 5

C.

Year 4

Year 5

D.

Year 5

Year 4

Answer rating: 100% (QA)

Answer The correct option is D Explanation Both gains and los... View the full answer