Under GAAP, the Rules for Recording Contingent Gains and Contingent

question 110

Multiple Choice

Under GAAP, the rules for recording contingent gains and contingent losses say that, if they are probable and can be reasonably estimated:

• A) Both contingent gains and losses are recognized.
• B) Contingent losses are recognized, but contingent gains are not.
• C) Contingent gains are recognized, but contingent losses are not.
• D) Neither contingent gains or losses may be recognized.

---

Definitions:

Cholesterol

A type of lipid molecule that is essential for the formation of cell membranes, certain hormones, and Vitamin D.

Receptor Proteins

Proteins located on the surface of cells or within cells that bind to specific molecules, leading to a cellular response.

Receptor Molecule

A protein on the surface or inside a cell that binds to specific molecules like hormones or neurotransmitters, triggering a response inside the cell.

Transduction Pathway

A series of molecular actions within a cell that converts a signal from outside the cell to a functional change within the cell.