Question 31 (2 points) In year one, a company using IFRS signed a long term purchase commitment for the purchase of raw materials for $1,000,000. By the end of year one, the raw materials had a market price of $920,000. In year two, the goods arrive and are paid for when the the raw materials have a market price of $880,000. The year two journal entry to record payment of $1,000,000 for the inventory will include debit to loss on purchase contract of $120,000 Odebit to raw materials inventory of $1,000,000 debit to loss on purchase contract of $40,000 debit to liability for onerous contracts of $40,000 Question 32 (2 points) Below is an Allowance for Doubtful Accounts (AFDA) t-account. What is the most likely amount of bad debts expense for the period? AFDA 1,200 Beginning 400 750 1,550 O $1,550 $400 $750 $350