Gore Increcorded a Liability in 2016 for Probable Litigation Losses of of $2

Gore Inc.recorded a liability in 2016 for probable litigation losses of $2 million.Ultimately,$5 million in legitimate warranty claims were filed by Gore's customers.

A) Gore has made a change in accounting principle,requiring retrospective adjustment.
B) Gore needs to correct an accounting error.
C) Gore is required to adjust a change in accounting estimate prospectively.
D) Gore is not required to make any accounting adjustments.

Correct Answer:

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