All of the following are examples of subsequent events that would be disclosed in the footnotes to the financial statements except
A)fire or flood loss
B)a litigation settlement
C)a bond issuance after the balance sheet date
D)the inability to collect a major customer's accounts receivable

Question

Quizplus · Accepted Answer

The inability to collect a major customer's accounts receivable is typically considered an adjusting event, not a non-adjusting subsequent event, and would be reflected in the financial statements rather than just disclosed in the footnotes.

All of the Following Are Examples of Subsequent Events That