2. Recording the asset retirement obligation {A110} on the new plant: 1:. Assuming that payments will be made at the end of each year, detennine the amount that Frosty Co. should recognize for the ARO. b. Assuming Frosty Co.'s management team decides to record the ARD. what correcting entries Would need to he made? e. What would be the net effect of the ARC) adjustment on the current year's net income?I What would be the net effect on BPS