BP and Contingent Liabilities Case Study Solution
On April 20, 2010, as BP p.l.c., the third-largest noted oil manufacturer on the planet, was organizing to report strong very first quarter outcomes, a surge took place on its drilling rig Deepwater Horizon, eliminating 11 employees and hurting 16 others. Over the next 2 days, the rig burned and sank, leading to a huge overseas oil spill in the Gulf of Mexico. The spill was thought about "the biggest ecological catastrophe to strike the United States" and the biggest unexpected marine oil spill in history.
The monetary reporting ramifications of the mishap and subsequent claims, specifically the acknowledgment and statistic of arrangements and associated expenditures, and acknowledgment of contingent contingencies, were a significant factor to consider for BP and its financiers.
Supply trainees with a chance to examine the monetary reporting ramifications of the BP mishap and succeeding claims, specifically the acknowledgment and size of arrangements and associated costs, and disclosures of contingent liabilities..................................................