Under ASPE, Disclosure in the Footnotes to the Financial Statements

question 22

True/False

Under ASPE, disclosure in the footnotes to the financial statements is the only way to properly report contingent losses.

---

Definitions:

Perceptual Constancy

The ability of the human perception system to recognize objects as remaining the same despite changes in sensory input, such as changes in lighting, distance, or angle.

Top-Down Processing

A cognitive approach where perception is driven by high-level cognitive processes, expectations, and prior knowledge.

Illumination

The provision of light or the act of illuminating a space.

Color Constancy

The perceptual phenomenon in which the perceived color of objects remains relatively constant under varying illumination conditions.