Question $10$

yet been filed or distributed. As the accounting team reviews the events that occurred after the reporting period, they identify the following significant events:

$1.$ On January $15,2025,$ Onyx Corporation settled a lawsuit for $\backslash (\backslash$$ $500,000\backslash ).$ The lawsuit was initiated in $2024$ due to alleged patent infringement, and it was determined that the probability of losing the case was high. As of December $31,2024,$ Onyx had accrued a liability of $\backslash (\backslash$$ $300,000\backslash )$ for this lawsuit based on legal advice.

$2.$ On January $10,2025,$ the company discovered that a significant portion of its inventory had become obsolete due to technological advancements. The inventory, valued at $\backslash (\backslash$$ $200,000\backslash )$ on the balance sheet, is now estimated to have a net realizable value of only $\backslash (\backslash$$ $80,000\backslash ).$

$3.$ On January $5,2025,$ Onyx Corporation secured a new bank loan of $\backslash (\backslash$$ $1,000,000\backslash )$ to finance expansion. The loan agreement includes a clause that requires the company to maintain certain financial ratios.

$4.$ On January $20,2025,$ the company reassessed its warranty obligations and determined that it needs to increase its warranty liability by $\backslash (\backslash$$ $50,000\backslash )$ due to an increase in product defects reported after year$-$end.

$5.$ On January $25,2025,$ the Board of Directors approved a dividend of $\backslash (\backslash$$ $200,000\backslash )$ to be paid to shareholders in March $2025.$ This decision occurred after the year$-$end but before the financial statements were issued.

Required:

For each event, determine whether a journal entry is required and, if so$,$ prepare the appropriate journal entries to adjust the financial statements for Onyx Corporation. If no journal entry is required, indicate whether it should be disclosed.