Considering only the information presented and NBC TG 25 (R2) - Provisions, Contingent Liabilities and Contingent Assets, the industry should recog...

Considering only the information presented and NBC TG 25 (R2) - Provisions, Contingent Liabilities and Contingent Assets, the industry should recognize the amount of R$ 80,000.00 as:

An industry markets Product A and provides contractual guarantees to customers at the time of sale of this product. As a production and marketing policy already adopted for some years, customers will be covered by the cost of repair or even replacement, if defects arise in the product within twelve months from the date of sale (event that creates an obligation). The industry has been working to improve the entire production process of Product A in order to minimize the activations of these guarantees, but, through technical survey based on past experiences, it is likely that some customers will activate the guarantees. Despite the optimism about the quality of its product, the industry considers R$ 80,000.00 a reliable estimate to be used in the next fiscal year to settle the costs of guarantees for repair or replacement, if defects are detected in Products A sold.
A) Provisions for Guarantees in Current Assets.
B) Provisions for Guarantees in Current Liabilities.
C) Estimated Loss with Guarantees in Current Liabilities.
D) Contingent Liability in a reducing account in Current Assets.