A Disclosure of a Contingent Liability in the Footnotes Is

question 74

Multiple Choice

A disclosure of a contingent liability in the footnotes is made rather than adjusting the financial statement accounts when

• A) the outcome of the event is judged to be reasonably possible and the loss can be reasonably estimated.
• B) the loss can be reasonably estimated, but the outcome is unknown.
• C) the outcome of the event is judged to be reasonably possible but the loss cannot be reasonably estimated.
• D) the outcome is unknown and the loss is reasonably estimable but the entity does not want to book the loss.

Recognize the phenomena of information overload, its effects, and coping mechanisms.

Understand the role and impact of technology in enhancing the effectiveness of communication processes.

Recognize the importance of ethics, transparency, and legal considerations in communication, especially in digital environments.

Identify the elements necessary for ethical communication within organizations.