Contingent Liabilities Must Be

question 9

Multiple Choice

Contingent liabilities must be:

• A) recorded on the balance sheet between current and long-term liabilities.
• B) disclosed in the footnotes.
• C) recorded in the ledger, or no disclosure is required.
• D) material and imminent, or they should not even be mentioned.

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Definitions:

Capillary Wall

The thin, permeable layer of tissue that forms the boundary of capillaries, allowing for the exchange of gases, nutrients, and waste between blood and tissues.

Endothelium

The thin layer of cells that lines the interior surface of blood vessels and lymphatic vessels.

Basement Membrane

The basement membrane is a thin, fibrous layer that lies between the epithelium and the underlying connective tissue, providing support and anchorage.

Tunic Media

The middle layer of the wall of blood vessels, composed mostly of smooth muscle and elastic tissue, which regulates the diameter of the vessels.