Baxon 30 सितंबर 20X7 को समाप्त वर्ष के लिए अपने वित्तीय विवरण तैयार कर रहा है। कंपनी को बेचे गए एक दोषपूर्ण उत्पाद के संबंध में अपने ग्राहकों से कई कानूनी दावों का सामना करना पड़ रहा है। दावा की जा रही कुल राशि $2.5 मिलियन है। Baxon के वकीलों का कहना है कि ग्राहकों के सफल होने की 80% संभावना है। IAS 37 (प्रविधान, आकस्मिक देनदारियां और आकस्मिक संपत्ति) के अनुसार, 30 सितंबर 20X7 को Baxon की वित्तीय स्थिति के विवरण में उपरोक्त के संबंध में कितनी राशि मान्यता प्राप्त (recognised) की जानी चाहिए?

On 1 January 20X4, Star Co completed the construction of a power plant that has an estimated useful life of 20 years. Star Co immediately started to use the power plant. Star Co is required, by law, to restore the site on which the plant is built at the end of its useful life. At 1 January 20X4 the estimated cost of dismantling the plant and restoring the site after 20 years was $5 million. The cost of capital of Star Co is estimated at 8.5%. The present value of $1 after 20 years is 0.196. What interest expense should Star Co recognise for the year ended 31 December 20X5 in relation to the power plant?

Bratton Co is finalizing its financial statements for the year ended 31 December 20X5. The following issues have been identified: 1. In December 20X5, the government announced new energy-efficiency regulations that require all factories to install carbon-scrubbing filters by June 20X6. Bratton Co estimates this will cost $800,000 and management is committed to carrying out the work. 2. Bratton Co has a widely publicized environmental policy where it promises to decontaminate any land it uses, even in countries where there is no legal requirement to do so. In 20X5, it began a new mining project in a country with no environmental laws. The estimated future cost to decontaminate this site is $2 million (present value). 3. The company is defending a patent infringement claim. Lawyers believe there is a 40% chance Bratton Co will lose and have to pay $1.5 million, but a 60% chance they will win and pay nothing. What is the total provision that should be recognized in the statement of financial position as at 31 December 20X5?