INDIVIDUAL ASSIGNMENT #4 DUE: THURSDAY MARCH 7 ACCOUNTING ISSUES MEMO Case 7.2 Accrual for a Lawsuit, Writing an Issues Memo (Chapter 7, Page 219-220) Your company has just been named as defendant in a lawsuit related to a leak of chemicals, from one of your company's plants onto private property. The plaintiff is suing for $5 million in damages; your company's attorneys believe the ultimate amount of loss could range between $1 million and $3 million, with no amount in the range more likely than other amounts in the range. The lawsuit is expected to be resolved in the middle of next year. (1) should a loss should be accrued, and for what amount, and (2) what disclosures should be made in the company's financial statements.

Any Tips or advice on writing a professional memo?