Which of the Following Is Not a Contingent Government Liability

question 21

Multiple Choice

Which of the following is not a contingent government liability

• A) Future pension payments promised to the current workforce
• B) The future decommissioning cost of state owned nuclear power plants
• C) Health care spending promised to an aging population
• D) Government debt that has to be paid off in future
• E) The economic costs of climate change that will be faced by the government

---

Definitions:

Hedged Delivery

A strategy used in trading and finance to minimize risk by taking compensating positions in related securities or commodities.

Futures Contracts

Legal agreements to buy or sell a particular commodity or financial instrument at a predetermined price at a specified time in the future.

Profit (Loss)

Profit or loss refers to the financial result that is calculated by subtracting total expenses from total revenues, with profit indicating a positive result and loss indicating a negative result.

Silver

A precious metal with high electrical and thermal conductivity, used in jewelry, silverware, and industrial applications.