Scenario

Keeping in mind Verizon, our company example for this week, use the wealth of information available on the Internet to research a company in which you are interested. (Hint: company name + balance sheet) Then using real information from your company, answer the questions below.

Initial response

1. Give an example of deferred revenues and explain why it would be categorized as either sales or debt.
2. If your chosen company thinks a future event is likely to happen that would cause it to have a liability but they cannot estimate how much the event will cost it, explain whether or not it has to accrue that liability on the balance sheet and if not, what should it do instead. You may make up a use a plausible example of an event that might happen to your particular company in order to help illustrate your example to us.
3. Use the title of your company as the subject line for your post so it will be easy for everyone to respond to the challenges.