Under FASB Rules, a Material Loss Contingency Must Be Accrued

question 84

True/False

Under FASB rules, a material loss contingency must be accrued if it is both "reasonably possible" and "reasonably estimable."

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Definitions:

Z-Score

Another term for standard score, indicating the number of standard deviations a data point is from the mean of its distribution.

Standard Deviations

A statistical measure that quantifies the amount of variation or dispersion of a set of data values.

Standard Normal Distribution

A bell-shaped probability distribution characterized by a mean of zero and a standard deviation of one, used in many areas of statistical analysis.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values in a data set vary from the mean.