1. Are the following statements true or false?

   a. Full cost companies do not book AROs.

   b. An oral agreement to dismantle equipment and restore the environment at the end of the productive life of a facility would result in the recording of an ARO.

   c. A change in the discount rate should result in the re-estimation of AROs.

   d. A company had an oil spill resulting from a tanker running aground; the company should immediately accrue an ARO.

   e. Although they should not be significant, either gains or losses may be recognized when an ARO is settled.