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Cole Pharmaceuticals has been sued for damages as the result of accidental deaths caused by a newly released drug

Accounting

Cole Pharmaceuticals has been sued for damages as the result of accidental deaths

caused by a newly released drug. The lawsuit has already cost them $1.6 million, and

they expect additional related lawsuits to cost them $7.4 million. Therefore, Cole

restricted $5 million in cash to partially cover the costs of the lawsuits. Cole would likely

disclose the relationship between the restricted cash and the lawsuit liabilities with a

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