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Great Lakes Cruise Lines is a defendant in litigation involving a swimming accident on one of its three cruise ships. Required: 1. The likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. 2. The likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $1.06 to $1.26 million. 3. The likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.26 million. 4. The likelihood of a payment occurring is remote, while the estimated potential amount is $1.26 million. Record the necessary entry for the scenarios given above. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions. For example, $5.5 million should be entered as 5,500,000.)

Great Lakes Cruise Lines is a defendant in litigation involving a swimming accident on one of its three cruise ships. Required: 1. The likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. 2. The likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $1.06 to $1.26 million. 3. The likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.26 million. 4. The likelihood of a payment occurring is remote, while the estimated potential amount is $1.26 million. Record the necessary entry for the scenarios given above. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions. For example, $5.5 million should be entered as 5,500,000.)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Great Lakes Cruise Lines is a defendant in litigation involving a swimming accident on one of its three cruise ships. Required: 1. The likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. 2. The likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $1.06 to $1.26 million. 3. The likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.26 million. 4. The likelihood of a payment occurring is remote, while the estimated potential amount is $1.26 million. Record the necessary entry for the scenarios given above. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions. For example, $5.5 million should be entered as 5,500,000.) View transaction list Journal entry worksheet < 1 2 3 4 Record the contingent liability, if necessary, if the likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit Record entry Clear entry View general journal
Transcribed Image Text:Great Lakes Cruise Lines is a defendant in litigation involving a swimming accident on one of its three cruise ships. Required: 1. The likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. 2. The likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $1.06 to $1.26 million. 3. The likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.26 million. 4. The likelihood of a payment occurring is remote, while the estimated potential amount is $1.26 million. Record the necessary entry for the scenarios given above. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field. Enter your answers in dollars, not in millions. For example, $5.5 million should be entered as 5,500,000.) View transaction list Journal entry worksheet < 1 2 3 4 Record the contingent liability, if necessary, if the likelihood of a payment occurring is probable, and the estimated amount is $1.26 million. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit Record entry Clear entry View general journal
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