Identify the accounting issue

Assignment Help Financial Accounting
Reference no: EM132926166

Question - The file also contained a letter from CAP's lawyer (Stonechild, Pilla, and Partners). The letter from the lawyers explained a current lawsuit undertaken against CAP. Apparently, a customer had asked for 50,000 parts to be produced and delivered no later than July 15, 2020. However, due to major downtime in July, CAP could not produce the parts as scheduled. In turn, the customer was late in delivering its vehicles to its distributors and had to pay a penalty equivalent of $600,000. This customer is now suing CAP for retribution for these costs. The letter goes on to state that retribution will be inevitable; however, it is believed that a settlement between $350,000 to $550,000 can be reached. Identify the accounting issue and how it can be resolved under ASPE and IFRS.

Reference no: EM132926166

Questions Cloud

What is one share of this stock : Afterwards, the dividend is expected to increase by 3.25 percent annually. What is one share of this stock worth to you currently
What vital functions need to be included in the plan : What vital functions need to be included in the plan. Can you easily identify the most vital functions? What happens to the business if one or more functions
Determine amount of cost of goods manufactured : During FY 2020 Annapolis Manufacturing had total manufacturing costs are $610,000. Determine amount of Cost of Goods Manufactured
Evaluate preparedness for virtualization : Explain Windows Azure capabilities for virtual machines and managing a hybrid cloud, including Windows Azure's Internet as a Service (IaaS)
Identify the accounting issue : The file also contained a letter from CAP's lawyer (Stonechild, Pilla, and Partners). Identify the accounting issue and how it can resolved under ASPE and IFRS
Why the e-mail has become a critical component for ig : Briefly state why the e-Mail has become a critical component for IG implementation? We learned that e-mail is a major area of focus for information governance.
How to figure out the favoured users in business elicitation : How to figure out the favoured users in business elicitation plan, and how to determine which techniques to be used? Provide an example.
Discuss comparative analysis of phenomenon : Discuss Comparative analysis of phenomenon (working hours) and trends across the countries Japan vs Germany , drawing on key theory/theoretical frameworks
What is the total cost of job : The labor rate is $20 per hour. Overhead is applied based on direct labor hours. What is the total cost of job B-2

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd