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5. How would the proceeds received from the advance sale of non- refundable tickets for a theatrical performance be reported in the seller's financial statements before the performance?* 1 po a. Revenue for the entire proceeds. b. Revenue to the extent of related costs expended. c. Unearned revenue to the extent of related costs expended. O d. Unearned revenue for the entire proceeds. 6. Which of the following sets of conditions would give rise to the accrual of a loss or an expense? 1 point O a. Amount of loss is reasonably estimable and event occurs infrequently, O b. Amount of loss is reasonably estimable and occurrence of event is probable. O c. Event is unusual in nature and occurrence of event is probable. O d. Event is unusual in nature and event occurs infrequently. 7. Which of the following uncertainties is normally accrued?" 1 point O a. Cost of retraining or relocating continuing staff due to restructuring. b. Benefits after the operations expected by an employee of a branch soon to be closed. O c. Disposal of assets after restoration of a drilling site. Od Operating losses foreseen in the next three years. O e. All of these are normally accrued. 8. Which of the following is a current liability? 1 point a. A long-term debt maturing currently which is refinanced on a long-term basis before the end of the reporting period. b. A long-term debt maturing currently which is refinanced on a long-term basis after the reporting period but before issuance of the financial statements. c. A long-term debt maturing currently where the enterprise has the discretion and Intention to refinance on a long-term basis. d. A long-term debt maturing currently where the debtor breached the covenant appertaining to the contract of loan and the creditor has granted a grace period 9. During 2012, Truman Company became involved in a tax dispute with the 1 point BIR. At December 31, 2020, Truman's tax advisor believed that an unfavorable outcome was probable and a reasonable estimate of additional taxes was P500,000 but could be as much as P650,000. After the 2020 financial statements were issued, Truman received and accepted a BIR settlement offer of P550,000. What amount of accrued liability would Truman have reported in its December 31, 2020 statement of financial position? O a. P650,000 O b. P575,000 O C. P550,000 O d. P500,000 1 point 10. At December 31, 2020, Carter Company had 1,000 gift certificates outstanding, which had been sold to customers during 2020 for P750. Carter operates on a gross margin of 60%. How much revenue pertaining to the 1,000 outstanding gift certificates should be deferred at December 31, 2020? a. PO b. P300,000 O c. P450,000 O d. P750,000