User Account

All Pages

What amount Ajax accrue for these possible liabilities

Assignment Help Financial Accounting
Reference no: EM132967342

Question - In Feb 2021, Ajax Lmt. was notified of a lawsuit filed against it. As a result of this lawsuit, it is probable that Ajax will have to pay damage in the range of $300,000 to $700,000. In July 2021, an employee accused Ajax's CEO of creating a hostile work environment in a lawsuit files in US District Court. Ajax denies the allegation, and counsel advises that a loss in court is only reasonably possible, predicting a maximum potential award of damages of $100,000. Finally, in Dec 2021, Ajax is cited by the EPA for possible pollution violations in disposing of asbestos waste, with possible fines of $1,000,000. In-house counsel advise that the chance of the EPA successfully fining Ajax is remote. What amount, if any, should Ajax accrue for these possible contingent liabilities?

A. $400,000

B. $700.000

C. $1,300,000

D. $300,000

Reference no: EM132967342

Questions Cloud

Detailed report of cocacola company : A detailed report of Cocacola company uses benchmarking to measure the success of their sustainability and ethical initiatives required. if you cannot find spec
How do group norms influence an individual behavior : How do group norms influence an individual's behavior?
Calculate the amount of money : 1) Calculate the amount of money that will be in each of the following accounts at the end of the given period (future value) assuming that interest is compound
What is defined in the written permission : What is defined in the written permission and why is it important
What amount Ajax accrue for these possible liabilities : In-house counsel advise that the chance of the EPA successfully fining Ajax is remote. What amount, if any, should Ajax accrue for these possible liabilities
Present arguments for each side of the debate about conflict : Present arguments for each side of the debate about conflict.
How easily did alibaba exceeded its global competitors : How easily did Alibaba exceeded both of its global competitors such as ebay and amazon?
What is the final step in the marketing process : Question 2: Explain least four factors in the economic environment that will affect customers' willingness and ability to spend their money on a firm's product?
Results of a descriptive single-case study : Discuss how the purpose, methodology, and results of a descriptive single-case study that examine the characteristics of medication errors made by student nursi

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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