Provisions

This topic has 1 reply, 2 voices, and was last updated 8 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author
Posts
September 23, 2017 at 6:42 pm #408450
zainabrubab
Member
- Topics: 1
- Replies: 0
I am confuse about provisions.
If there is present obligation e.g any court case as a result of past event, and reliable estimate can be made and the lawyers tell that it is likely that the business will pay that amount in future then what should we do?
September 24, 2017 at 9:56 am #408479
John Moffat
Keymaster
- Topics: 57
- Replies: 54836
Have you not watched the free lecture on this?
There is a contingent liability, and because it is ‘probable’ they will make a provision for the amount.
The lectures are a complete free course for Paper F3 and cover everything needed to be able to pass the exam well.
Author
Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.