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Winnie Corporation should account for the contingent payment of $100,000 to Joshua Company in accordance with the guidelines set forth by Generally Accepted Accounting Principles

Winnie Corporation should account for the contingent payment of $100,000 to Joshua Company in accordance with the guidelines set forth by Generally Accepted Accounting Principles (GAAP) in the United States. Specifically, the contingent payment should be recognized as a liability on Winnie Corporation's balance sheet if it is probable that the revenue goals will be achieved and the amount can be reasonably estimated

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