1. The IASB requires a reconciliation between the effective tax rate and the governments statutory rate. Of what benefit is such a disclosure requirement?
2. What type of disclosure or accounting do you believe is necessary for the following items?

1. Because of a general increase in the number of labor disputes and strikes both within and outside the industry, there is an increased likelihood that a company will suffer a costly strike in the near future.
2. A company reports a loss on a discontinued operation (Net of Tax) correctly on the income statement. No other mention is made of this item in the annual report.
3. A company expects to recover a substantial amount in connection with a pending refund claim for a prior years taxes. Although the claim is being contested, counsel for the company has confirmed the clients expectation of recovery.