Accounts before issuance of the financial statements


Question: Which of the following subsequent events (post-balance-sheet events) would require adjustment of the accounts before issuance of the financial statements?

A. Loss of plant as a result of fire

B. Changes in the quoted market prices of securities held as an investment

C. Loss on an uncollectible account receivable resulting from a customer's major flood loss

D. Loss on a lawsuit, the outcome of which was deemed uncertain at year end.

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Finance Basics: Accounts before issuance of the financial statements
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