On December 29, 2011 Exxon Mobil encounters a major oil spill in connection with their oil rig off of the coast of Alabama. Exxon believes that it is probable that they will need to pay a significant amount in damages and fees, but they are not able to reasonably estimate the amount. On February 15, 2012, Exxon Mobil files their financial statements with the SEC. On March 15, 2012, Exxon Mobil settles all oil spill related lawsuits for $24 Billion cash. What journal entry will Exxon Mobil record on March 15, 2012? Edit View Insert Format Tools Table Question 2 3 pts On December 29, 2011 Exxon Mobil encounters a major oil spill in connection with their oil rig off of the coast of Alabama, Exxon believes that it is probable that they will need to pay a significant amount in damages and fees, but they are not able to reasonably estimate the amount. On February 15, 2012, Exxon Mobil files their financial statements with the SEC. On March 15, 2012, Exxon Mobil settles all oil spill related lawsuits for $24 Billion cash. What amount should Exxon Mobil report on their 2011 Balance Sheet related to this event? $0 $20 Billion O $24 Billion $30 Billion Question 1 3 pts On December 29, 2011 Exxon Mobil encounters a major oil spill in connection with their oil rig off of the coast of Alabama. Exxon believes that it is probable that they will need to pay a significant amount in damages and fees, but they are not able to reasonably estimate the amount. On February 15, 2012, Exxon Mobil files their financial statements with the SEC. On March 15, 2012, Exxon Mobil settles all oil spill related lawsuits for $24 Billion cash. How should this event be presented in the 2011 financial statements of Exxon Mobil? O Disclosure Only O Recognize (Create a Liability on the Balance Sheet) O Ignore, since the amount can't be estimated
