Individual Lawsuit Against Amazon.com

Solution:Legal proceddings are mentioned in the annual reports because these impact the business. The company cannot predict the impact (if any) that any of the matters described above may have on our business, results of operations, financial position, or cash flows. Because of the inherent uncertainties of such matters,abcThe lawsuits are discussed in detail, so that the investor can know the happenings of the company in detail and can analyze the cases by their own. The monetary losses are indictaed where the case has been resolved and accordingly proceedings for the same has been called for.All the preceedings for the lawsuits are mentioned in commitments and contigencies. The amount which is pertaining to the current year will be included in as a part of the current liabilities whereas the other will be included as the long term contingencies that the company needs to pay offThis willimpact the financial health and cash flows of the company as the company need pay off these contingenciesThe statement of operations will be impacted by the current proportion of the contingencies that needs to be paid off for the law suitIn balance sheet $600 million will be shown as the contingencies and liabiities and will