ii). Employees of a particular garment factory contracted COVID19 during the course of their employment. Few employees were seriously ill and have had severe reactions as a result. A number of these employees have decided to take the garment factory to court for failing to provide them with a safe working environment. The outcome of the lawsuit is highly uncertain. Advise the accountant if a liability exists. (5 marks)

(iii)At year-end, the executives awarded a bonus of $8 000 to their marketing manager for his outstanding performance during the year. However, due to cash constraints the bonus was not to be paid. Advise the accountant if a liability exists.