Discuss the accounting treatment to the scenario below in accordance to MFRS 137- Provision, Contingent Liabilities, and Contingent Assets, giving reasons for your answers. Each scenario is an independent scenario:

a) On 15 February 2019, an entity discovered that a debtor who owed RM10 million was declared bankrupt before the financial statements were authorised for issue. The entitys financial year is at 31 December.

b) Entity HJ whose financial year-end is 31 December, signed a contract to acquire a factory building at an estimated cost of RM1,000 million on 10 January 2019. The financial statement sb have not been authorised for issue yet.

c) On 10 February 2019, fire destroyed the factory and office building of one of Entitys major operations. This loss was estimated to be in millions of ringgit and the loss will affect the going concern status of the operation. QRs financial year-end is 31 December.

d) Entity EST had provided for a contingent liability of RM425,000 as at its financial year end of 31 December 2018 , but judgement made on 12 February 2019 was RM500,000.

e) A manufacturer of electrical goods gives warranties at the time of sale to purchasers of its products. The warranty is valid for 18 months from the date of sales. How should the manufacturer treat these warranties?

f) An employee was injured while working on the premises on Entity UV. He took legal action and sought damages of RM2 million. The entity has taken legal advice and is confident it will not be held liable.

g) Blue Bhd sold goods with warranty where customers are covered for the cost of repairs due to manufacturing defects within the first year after purchase. Blue Bhd estimated that the probability of the goods sold with major defects will be 25% and the estimated repair cost would be 2 million.

h) Turquoise Bhd was being sued by a customer for RM2 million for breach of contract. Turquoise Bhd had obtained legal opinion that it was not probable Turquoise Bhd would lose the case. Accordingly, Turquoise Bhd had provided RM400,000 which was included in administrative expenses. The unrecoverable legal costs of defending the action were estimated at RM500,000. However, this amount had not yet been provided for as the legal action would only go to court in 2019.

i) Green Bhd has an overseas subsidiary involved in mining activities that caused significant damage to the environment. The mine was situated in the company where there was no environmental regulation requiring the entity to remedy environmental damage. It was estimated that the cost of restoration of the mining site, which was estimated to be in 10 years' time would probably be RM15 million.