A Contingency That Is Remote

question 218

Multiple Choice

A contingency that is remote

• A) should be disclosed in the financial statements.
• B) must be accrued as a loss.
• C) does not need to be disclosed.
• D) is recorded as a contingent liability.

---

Definitions:

Long-Term Forecasts

Predictions about future events, trends, or behaviors that extend over a significant period of time, usually beyond a year.

Supply And Demand

Economic model describing the interaction between the availability of a product (supply) and the desire for that product (demand).

Static Time-Series Method

A forecasting technique that assumes past data patterns will continue into the future without adjusting for dynamic changes.

Historical Data

Past information and data used to analyze trends, forecast future events, and make informed decisions.