W/O of contract value would have been taken and any loss probably recognised in the P&L at the time.
However, all non-cash transactions.
Impact on cashflow is different, not sure if there was a structured payment for the purchase? May have still owed money on him. Insurance payout would have come in later and maybe used to offset loss.
Other Finance-faces can provide more, or even varying, opinions 😉
Posted By: Worthing Yellow, Oct 16, 18:48:28
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