Advanced Placement (AP), 04.10.2021 05:10 alodrascon175
Identify whether the following should be Recognised, Disclosed or Ignored when Daleside Co is preparing the financial statements for the year ended 31 December 20X9. Assume that all amounts are material.
1/Daleside Co has heard that a former employee intends to sue for constructive dismissal. She left the company in November 20X9.
2/Daleside Co has commenced legal proceedings against a supplier for breach of contract. Advisers suggest a 85% likelihood that Daleside Co will win the case.
3/Daleside Co will close one of its operating divisions in February 20X9 incurring redundancy costs. The closure has been widely reported in the press.
4/As a result of an economic downturn, Daleside expects to make a loss in the first half of 20X9
5/Daleside Co has made a provision for a case brought against it by a customer. If this results in payment to the customer, it is virtually certain that an amount will be recoverable from Daleside Co's insurers
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Identify whether the following should be Recognised, Disclosed or Ignored when Daleside Co is prepar...
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