Which Statement About Contingent Liabilities Is Correct

question 7

Multiple Choice

Which statement about contingent liabilities is correct?

• A)It is a present obligation that will probably result in the economic outflow of resources.
• B)It involves uncertainty about either the timing of payment or the amount of payment.
• C)It is an obligation that arises from past transactions and events and can be reliably measured.
• D)It is a present obligation that arises from past events but it cannot be reliably measured.

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Definitions:

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The physiological state characterized by a desire or need to consume food for energy.

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