Part A $(6$ marks$)$

Identify the following accounting element and explain whether the accounting

adjustments would affect the current ratio where the current ratio is positive and

lesser than $100\%$:

i$.$ Increasing the contingent liabilities for environmental

fines $(2$ marks$)$;

ii$.$ Decreasing the provision for legal costs within $1$ year $(2$ marks$)$;

iii. Decreasing the allowance for doubtful $($bad$)$ debts $(2$ marks$).$