For each of the following subsequent events, indicate whether the financial statements should be:

(A) adjusted;

(D) the event should be disclosed in the financial statements; or

(ND) the event need not be disclosed.

Subsequent Event Action taken

1. An employee strike is called.

2. A lawsuit that was begun a year ago is settled after the Balance sheet date.

3. A new subsidiary is purchased.

4. A major customer of the company is lost.

5. A significant decline in the value of inventories occurs.

6. A plant of the company is destroyed by fire.