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QUESTION 1 ? Indicate whether each of the following is a liability, a provision, or a contingent liability, or none of the above. State
QUESTION 1 ? Indicate whether each of the following is a liability, a provision, or a contingent liability, or none of the above. State your reason, according to the appropriate Standard/s. a. Company A needs to pay P700,000 to a supplier for goods purchased two months ago. b. Leave payment to a faculty member for a long-term study leave, estimated at P250,000. c. There are estimated costs of P500,000 to relocate employees to the new office of Company C. This will require all employees to physically relocate next year. d. An amount of P85,000 is incurred every 2 years by Company D for the maintenance of its factory equipment. The next incurrence of this amount is next year. e. Company E was involved in a court case 2 years ago, and just this year, the judge decided that Company E should receive payment for damages, for successfully defending itself in court. The amount to be received by Company E will be decided by the judge next year, and Company E's lawyers are estimating that it will receive between P200,000 to P5,000,000.
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