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Fundamentals of Financial Accounting 4th Edition by Fred Phillips,Robert Libby,Patricia Libby
النسخة 4الرقم المعياري الدولي: 978-0078025372Fundamentals of Financial Accounting 4th Edition by Fred Phillips,Robert Libby,Patricia Libby
النسخة 4الرقم المعياري الدولي: 978-0078025372 تمرين 72
Determining Financial Statement Reporting of Contingent Liabilities
Macromedia, Inc. , is the original maker of shockwave and flash technologies. One of its annual reports indicated that a lawsuit had been filed against the company and five of its former officers for securities fraud in connection with allegedly making false or misleading statements about its financial results. The lawsuit was settled out of court, as described in the following note:
Required:
Explain why Macromedia didn't record a contingent liability under GAAP when the lawsuit was first filed.
Macromedia, Inc. , is the original maker of shockwave and flash technologies. One of its annual reports indicated that a lawsuit had been filed against the company and five of its former officers for securities fraud in connection with allegedly making false or misleading statements about its financial results. The lawsuit was settled out of court, as described in the following note:
Required:
Explain why Macromedia didn't record a contingent liability under GAAP when the lawsuit was first filed.
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Fundamentals of Financial Accounting 4th Edition by Fred Phillips,Robert Libby,Patricia Libby
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