Which of the Following Would Best Describe a Contingent Liability

question 18

Multiple Choice

Which of the following would best describe a contingent liability?

• A)an obligation to transfer services instead of cash to settle a liability
• B)an obligation where the costs will be covered by insurance
• C)an obligation with a high degree of uncertainty about the amount or timing of the payment
• D)an obligation with a low degree of uncertainty about the amount or timing of the payment

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Definitions:

Burned-over Districts

A term describing the Western New York region in the 19th century, known for its religious revivals and the birth of new religious movements.

Intense Revivals

Periods of heightened religious enthusiasm and fervor, often characterized by large gatherings, passionate sermons, and a strong focus on conversion and spiritual renewal.

New York and Ohio

Two states in the United States, New York known for being a financial and cultural center, and Ohio known for its significant role in American history and electoral politics.

Temperance Movement

A social movement against the consumption of alcoholic beverages, advocating for moderation or complete abstinence.