Rovalis provides 95,000 for the recall of defective toys. The manufacturer of the faulty parts has irrevocably undertaken to pay it 110,000, including a commercial compensation; this payment is virtually certain if Rovalis carries out the recall. Compute the reimbursement asset recognised and the net expense presented (option chosen by Rovalis).
- Recall provision
- 95,000
- Manufacturer's confirmed payment
- 110,000