This is about chapter $2$

Conceptual framework$1.$

identify the key issues $-$ preferable would be point form $-$ should not be more than a fewwords or a sentence for each key issue $($applying the conceptual framework$).$

These issues could be the following:

$($economic entity, control, revenue recognition and realization, matching, periodicity, monetary unit, going concern, historical cost, fair value and value in use, full disclosure, relevace

$2.$ Analysis $-$ analyze the case or question $-$ tell me everything about the topic $-$ careful thatyou don't start to "recommend" in this section$\mathrm{.}3.$Recommendations $-$ give me clear, CONFIDENT $($no "I think maybe possibly..."$)$recommendations as to what should happen including any "fixes" if applicable.Note: sometimes it works better and is easier to combine your analysis andrecommendations into the same section $-$ but make sure you note that for me$.$

Transactions from Gravenhurst Inc.$\text{'}$s current year follow. Gravenhurst follows IFRS.

$1.$ Gravenhurst Inc. thinks it should dispose of its excess land. While the carrying value is $$50,000,$ current market prices are depressed and only $$25,000$ is expected upon disposal. The following journal entry was made:

Loss on Disposal of Land $25,000$

Land $25,000$

$2.$ Merchandise inventory that cost $$630,000$ was reported on the statement of financial position at $$690,000,$ which is the expected selling price less estimated selling costs. The following entry was made to record this increase in value

:Inventory $60,000$

Sales Revenue $60,000$

$3.$ The company is being sued for $$500,000$ by a customer who claims damages for personal injury that was allegedly caused by a defective product. Company lawyers feel extremely confident that the company will have no liability for damages resulting from the situation. Nevertheless, the company decides to make the following entry:

Litigation Expense $450,000$

Litigation Liability $450,000$

$4.$ Because the general level of prices increased during the current year, Gravenhurst Inc. determined that there was a $$15,000$ understatement of depreciation expense on its equipment and decided to record it in its accounts. The following entry was made:

Depreciation Expense $15,000$

Accumulated Depreciation Equipment $15,000$

$5.$ Gravenhurst Inc. has been concerned about whether intangible assets could generate cash in case of liquidation. As a result, goodwill arising from a business acquisition during the current year and recorded at $$800,000$ was written off as follows:

Retained Earnings $800,000$

Goodwill $800,000$

$6.$ Because of a fire sale, equipment that was obviously worth $$200,000$ was acquired at a bargain price of $$155,000.$ The following entry was made:

Equipment $200,000$

Cash $155,000$

Gain $45,000$

Please do this!!!