Based on U.S. GAAP principles, the accounting recognition to be recorded in a journal would be:
Date Account title Debit Credit
December 31 Loss from estimated contingency $806,000
Estimated liability from contingency $806,000
<h3>Requirements for recording a loss from Contingency</h3>
- Loss must be probable.
- Loss amount can be reasonably estimated.
The loss is probable as the government has indicated its wishes clearly. The loss amount is also reasonably estimated to be $806,000. This can therefore be recorded as the above.
Find out more on contingency losses at brainly.com/question/25166312.
Answer:
Ken must disclose this information as it is a material fact.
Explanation:
A material fact is a fact that a reasonable person would recognize as germane to a decision to be made, as distinguished from an insignificant, trivial, or unimportant detail. In other words, it is a fact, the suppression of which would reasonably result in a different decision; meaning it would be the most significant information when someone is making a decision, in this instance, whether or not Patrick would buy Jordan’s house. Falsification of a material fact that would cause a party to a contract to refrain from entering into the contract may be grounds for rescission, meaning that Ken has an obligation to disclose this information.
If another company was selling a laptop very similar to the one you are debating on buying or if in a year a much better version was going to be released.
The answer is specialty store. This type of retail store
focuses more on providing or selling products that has a specific category in which
they hold one type of category that are being separated from other categories when selling or producing products to their
retail business in which one example can be a men’s clothing and women's clothing.