No Disclosure Is Required for Contingent Liabilities That Are

question 80

Multiple Choice

No disclosure is required for contingent liabilities that are

• A) Probable
• B) Remote
• C) Possible
• D) Reasonably possible

---

Definitions:

Government-set Standards

Regulations established by government bodies to ensure quality, safety, and fairness in the production, provision, or use of goods and services.

Efficiency Loss

The loss of economic efficiency that occurs when the competitive equilibrium in a market is not achieved or is distorted.

Health Insurance

An insurance policy designed to cover costs related to medical care, including surgery, prescriptions, and occasionally dental treatments for the policyholder.

Price Elasticity of Demand

The degree to which the quantity demanded of a good changes in response to a change in its price, indicating consumers' sensitivity to price variations.