Energy Inc. (Energy), an entity operating in the oil industry, is a U.S. subsidiary of a U.K. entity that prepares its financial statements in accordance with (1) IFRS in reporting t its parent and (2) U.S. GAAP in reporting to its U.S. based lender. Energys operations sometimes result in soil contamination. Energy cleans up any contamination when required to do so under the laws of the particular country in which it operates. In one of the countries in which Energy operates, there is no legislation requiring cleanup. In that same country, Energy had inadvertently contaminated land in prior years. As of October 31, 2018, it is virtually certain that a law requiring the remediation of contaminated land will be enacted in this jurisdiction, though it is not expected to be issued until after the December 31 year-end. A consultant has been hired to help estimate the cost of clean-up. Should Energy recognize a provision as of December 31, 2018 in reporting to its U.K. parent under IFRS? How about when it reports to its U.S. based lender? ANSWER MUST MAKE REFERENCE TO APPROPRIATE ACCOUNTING STANDARDS UNDER GAAP AND IFRS.