04-28-2005, 01:06 PM
I have been working on a homework problem for ages and have about to give up. Any help would be greatly appreciated.
Here it goes.
A company bought back some of its treasury stock in May of 2006. The shareholders of the shares had filed a lawsuit against the company the previous year (2005) because the board of the company had failed to fulfill its responsibility to maximize shareholder's value. In June of 2006 the lawsuit was dropped and neither side had to pay anything.
What I need to know is the Generally accepted accounting principle/FASB statement that will tell me how to deal with this.
Again Thank you so much.
Here it goes.
A company bought back some of its treasury stock in May of 2006. The shareholders of the shares had filed a lawsuit against the company the previous year (2005) because the board of the company had failed to fulfill its responsibility to maximize shareholder's value. In June of 2006 the lawsuit was dropped and neither side had to pay anything.
What I need to know is the Generally accepted accounting principle/FASB statement that will tell me how to deal with this.
Again Thank you so much.