Answered

Discover the answers you need at Westonci.ca, a dynamic Q&A platform where knowledge is shared freely by a community of experts. Our platform offers a seamless experience for finding reliable answers from a network of experienced professionals. Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals.

At the beginning of year 2, a government entity had a $500,000 judgment outstanding. The government entity paid $400,000 of the judgment during year 2. The remaining balance of the judgment includes $25,000 payable early in year 3 and $75,000 payable at the end of year 4. What amount should the government entity report as a liability for the judgment in its year 2 governmental fund financial statements

Sagot :

The amount that the government entity report should report as a liability for the judgment in its year 2 governmental fund financial statements is $25000.

What is liability?

"At the beginning of year 2, a government entity had a $500,000 judgment outstanding. The government entity paid $400,000 of the judgment during year 2. The remaining balance of the judgment includes $25,000 payable early in year 3 and $75,000 payable at the end of year 4. What amount should the government entity report as a liability for the judgment in its year2 governmental fund financial statements?

A) $500,000 B) $100,000 C) $75,000 D) $25,000

It should be noted that liability simply means the future sacrifices of economic benefit that an entity is obliged to make.

Here, the amount that the government entity report should report as a liability for the judgment in its year 2 governmental fund financial statements is $25000.

Learn more about liability on:

brainly.com/question/25012970

#SPJ4

We appreciate your time. Please come back anytime for the latest information and answers to your questions. Thank you for your visit. We're dedicated to helping you find the information you need, whenever you need it. Find reliable answers at Westonci.ca. Visit us again for the latest updates and expert advice.