Hi,

can someone plz help me with these entries.

It is December 2023 and Blossom inc, recently hired a new accountant, Jodie Larson. Although Blossom is a private company, it follows IFRS. As part of her preparation of the 2023 financial statements for Blossom, Jodie has proposed the following accounting changes: 1. At December 31,2022 . Blossom had a receivable of $300,000 from Michael Inc, on its statement of financial position that had been outstanding since mid-2021. In December 2023, Michael was declared bankrupt and no recovery is expected, Jodie proposes to write off the receivable in 2023 against retained earnings to correct a 2021 error. 2. Jodie proposes to change from double-declining-balance tostraight-line depreciation for the company's manufacturing assets because of a change in the pattern in which the assets provide benefits to the company. If straight-line depreciation had been used for all prior periods, retained earnings would have been $456,960 higher at December 31,2022 . The change's effect just on 2023 income is a $58,560 reduction. 3. For equipment in the leasing division. Jodie proposes to adopt the sum-of-the-years'-digits depreciation method, which the company has never used before. Blossom began operating its leasing division in 2023. If straight-line depreciation were to be used, 2023 income would be $132.000 higher. 4. Blossom has decided to adopt the revaluation method for reporting and measuring its land, with this policy being effective from January 1, 2023. At December 31, 2022, the land's fair value was $1,080,000. The land's book value at December 31 . 2022, was $900,000. (Hint: Refer to IAS B for the treatment of this specific change in policy.) 5. Blossom has investments that are recorded at fair value through other comprehensive income (FV-OCD). At December 31 . 2022, an error was made in the calculation of the fair values of these investments. The amount of the error was an overstatement of the fair value by $240,000 Blossom's income tax rate is 30%. (a) Your answer is correct. For each of the changes described above, identify whether the situation is a change in policy, a change in estimate, or an error correction. 1. ||Litigation Expense 300000 Litigation Lability 2. Retained Earnings \begin{tabular}{|r|} \hline 58560 \\ \hline \end{tabular} Retained Earnings 3. No Entry No Entry 4. Land Equipment Equipment