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QUESTION 7 Brekky Ltd has recently been sued by several customers for wrongly claiming that their breakfast cereals would boost a child's immune system and

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QUESTION 7 Brekky Ltd has recently been sued by several customers for wrongly claiming that their breakfast cereals would boost a child's immune system and lead to improved health outcomes. At 30th June 2020, the court had determined that Brekky Ltd will be liable for damages due to a lack of scientific evidence to support their claims of improved health outcomes. These damages will be advised on 30th December 2020. The solicitor advised Brekky Ltd that the damages are likely to be between $100,000 and $2.5 million. Required: with reference to AASB137 Provisions, contingent Liabilities and Contingent Assets, advise Brekky Ltd how this event should be treated in the financial tatements for the year ended 30th June 2020. 120-word limit) 5 marks) TTTT Paragraph 3 (12pt) T" T, x Mashups HTML CSS Arial

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