alleryStart learning →Profit-share amounts fixed after year-end, with a present obligation at year-end, are
ANon-adjusting events
BRecognised on payment
CAdjusting events
DDisclosed as commitments
Answer & Solution
Correct answer: C. Adjusting events
A present legal or constructive obligation existed at year-end, so the later amount adjusts the liability under Ind AS 19.
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