When an Entity's Management Resolves That the Entity Will Offer

question 30

Multiple Choice

When an entity's management resolves that the entity will offer to repair a defect it has recently discovered in one of its products,even though the nature of the defect is such that purchasers of the product would not expect the entity to do so:

• A) it must immediately recognise a liability.
• B) it must immediately recognise a liability, if it can be measured reliably.
• C) it will never recognise a liability as the offer to repair was not part of the contract of sale.
• D) it will only need to recognise a liability when the entity makes the offer public, or commits itself in some other way to make the repairs.

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Definitions:

Field List Button

A control in software applications that displays a list of fields or data elements available for use in forms or reports.

Show Table Button

A feature in database and spreadsheet software that displays the structure and contents of a table.

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The use of color coding in records or data entries to signify different statuses, categories, or priorities, enhancing readability and organization.

Table Datasheet View

A display format in database applications that presents data in rows and columns, resembling a spreadsheet.