Briefly Explain What Is Meant by a Subsequent Event

question 154

Essay

Briefly explain what is meant by a subsequent event. Give two examples of subsequent events.

---

Definitions:

Diversify

The strategy of allocating investments or resources across a variety of different areas to reduce risk.

504 Loan Program

A Small Business Administration program that provides long-term, fixed-rate financing to small businesses for major fixed assets, such as land and buildings.

Certified Development Company

A nonprofit organization sponsored either by private interests or by state or local governments.

Fixed Assets

Long-term tangible assets held for business use and not expected to be converted to cash in the upcoming fiscal year, such as buildings, machinery, and vehicles.