alleryStart learning →While correcting a sick leave liability of a prior year, a severe flu season in the next year is:
Adisregarded as hindsight
Bincluded in restatement
Crecorded in reserves
Dadded to the liability
Answer & Solution
Correct answer: A. disregarded as hindsight
Information that emerged after the prior statements were approved is hindsight and is disregarded in the correction.
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