brucechangcpa
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If a retrospective accounting change in one item (e.g. inventory valuation) would result in a change in another item (e.g. employee bonuses earned) under GAAP, then the resulting changes must generally be given effect (and thus recorded). It generally follows that financial statements will be restated to give effect to these changes.
In this case, however, the _legal obligation_ of the company to pay the "employee bonuses earned" depends on the applicable law, which in turn depends on the country/state in which the company is headquartered, the country/state in which the employee(s) worked, various statutes of limitation, and the like.
Please re-post with these and related facts, and we will attempt to provide additional information.
Hope this helps.
 Posted 449 days ago
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