Question 2 Explain whether provision is required for the following circumstances. a. b. C. d. e. On 13 December 2022 the board of director for Warren Berhad decided to close down a division. The accounting date of the company is 31 December. Before 31 December 2022 the decision was not communicated to any of those affected and no other steps were taken to implement the decision. The board of director for Warren Berhad agreed a detailed closure plan on 20 December 2022 and details were given to customers and employees. Warren Berhad is obliged to incur clean-up costs for environmental damage (that has already been caused). Warren Berhad intends to carry out future expenditure to operate in a particular way in the future under MFRS137, Provisions, Contingent Liabilities and Contingent Assets. Warren Berhad gives warranties at the time of sale to purchasers of its products. Under the terms of the warranty the manufacturer undertakes to make good, by repair or replacement, manufacturing defects that become apparent within a period of three years from the date of the sale. (15 marks)