Which Statement Is Correct

question 16

Multiple Choice

Which statement is correct?

• A)Contingencies arise from future events.
• B)The amount to be paid for contingencies is known or reasonably estimable.
• C)Current liabilities arise from future events.
• D)The amount to be paid for current liabilities is known or reasonably estimable.

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Definitions:

Monthly Profit

The total revenue of a business minus its expenses, costs, and taxes calculated on a monthly basis.

Total Optimal Profit

The maximum possible profit that can be achieved in a given scenario, taking into account all constraints and limitations.

Solver

A software tool used in optimization that finds the optimal solution to a problem by varying the values of variables within constraint boundaries.

Monthly Profit

The total revenue generated by a business minus its expenses, taxes, and costs, calculated on a monthly basis.