A company is preparing 2nd quarter financial statements on June 30. The company's year-end is December 31. The company has been informed of the potential of a suit to be filed against the company related to a price disagreement on a recently completed contract. The company's CFO is wondering what obligation the company has in reporting the contingency on the June 30 financial statements. What guidance is available in the Codification? FASB ASC x

A company is preparing 2nd quarter financial statements on June 30. The company's year-end is December 31. The company has been informed of the potential of a suit to be filed against the company related to a price disagreement on a recently completed contract. The company's CFO is wondering what obligation the company has in reporting the contingency on the June 30 financial statements. What guidance is available in the Codification? FASB ASC x

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter17: Other Services Provided By Audit Firms

Section: Chapter Questions

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A company is preparing 2nd quarter financial statements on June 30. The company's year-end is December 31. The company has been informed of the potential of a suit to be filed
against the company related to a price disagreement on a recently completed contract. The company's CFO is wondering what obligation the company has in reporting the contingency
on the June 30 financial statements. What guidance is available in the Codification?
FASB ASC

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