Accounting for BP PLC$\text{'}$s DeepwaterHorizon Oil SpillOn April $20,2010,$ an explosion at BP PLC$\text{'}$s Macondo well in the Gulf of Mexico caused the largest oil spill and one of the worst environmental disasters in U$.$S$.$ history. Because the incident occurred at the Deepwater Horizon drilling rig, this incident is often referred to as the Deepwater Horizon spill. Approximately $4\mathrm{.}9$ million barrels of oil were released, threatening the marine environment of the Gulf of Mexico as well as the environment and communities of the Gulf Coast region of the United States. In addition, $11$ workers died and $17$ were injured in the explosion. While BP bore primary legal responsibility for the spill, Transocean Corporation $($the drilling rig operator$)$ and Halliburton Company $($the construction contractor$)$ were also held partially responsible.The spill's financial costs to BP were enormous but also highly uncertain in the years that followed. Initially, the company incurred large costs to respond to the explosion and contain the spill. As time passed, the disaster set in motion a complex set of investigations and court cases that resulted in numerous fines and damage awards. In addition, BP made expensive commitments to support various environmental initiatives in the Gulf Cost region.BP$-$formerly named British Petroleum and headquartered in London$-$reports under IFRS and accounted for many of