Lalaliisa, Inc. has been operating its powerplant in Davao for 15 years in order to supply energy to surrounding areas. On December 17, 2020 there was a minor chemical leak. This was resolved immediately on December 19, 2020. On December 27, 2021 there was a major leak that led to an explosion resulting to a fire that damaged the surrounding areas. The Company’s legal counsel believed that damages amounting to P8,000,000 will be paid. The company has a P20,000,000 comprehensive public liability insurance plan with a P500,000 deductible clause. On January 5, 2021 before the financial statements were issued, the Company settled

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Estimated damages are 8000000 which ... View the full answer