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Mejia Electronics has a line of credit at their bank of $ 2 million. The terms of the contract state that the company must have
Mejia Electronics has a line of credit at their bank of $ million. The terms of the contract state that the company must have cash equal to at least of the borrowed amount in their bank account at all times. If Mejia borrowed $ million in the restricted cash used to secure the loan should be disclosed in the financial statements because it is a
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contingency.
Level financial instrument.
significant accounting policy.
contractual situation.
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