(Solution) - Wal Mart was sued nearly 5 000 times in a recent year about -(2025 Original AI-Free Solution)

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Wal-Mart was sued nearly 5,000 times in a recent year?about once every twohours every day of the year. Wal-Mart has been sued for everything imaginable?ranging from falls on icy parking lots to injuries sustained in shoppers? stampedes to a murder with a rifle purchased at Wal-Mart. Wal-Mart does not adhere to the legal strategy many businesses use of ?Settle quickly and cut your losses.? Instead, Wal-Mart aggressively fights lawsuits, even when it would be cheaper to settle. The company reported the following in the notes to its financial statements: Exercises 531
Instructions
(a) Explain why Wal-Mart does not have to record these contingent liabilities.
(b) Comment on any implications for analysis of the financial statements.