No Mention of the Contingent Liability Needs to Be Made

question 40

Multiple Choice

No mention of the contingent liability needs to be made in the financial statements, if the probability of payment is:

• A) remote.
• B) probable.
• C) reasonably possible.
• D) not plausible.

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Definitions:

Cardiomegaly

A medical condition characterized by an enlarged heart, often a result of heart disease or high blood pressure.

Graves' Disease

An autoimmune disorder characterized by hyperthyroidism, goiter, and often exophthalmos (bulging eyes).

Diabetes

A metabolic disease characterized by high blood sugar levels over a prolonged period due to insulin production or action issues.

Third Ventricle

A narrow fluid-filled cavity in the brain, part of the ventricular system that lies between the two halves of the thalamus and underneath the corpus callosum.