Entities Are Only Required to Record a Liability If There

question 74

True/False

Entities are only required to record a liability if there has been a past transaction that has created a present obligation to another entity that is expected to result in an outflow of future economic benefits.

---

Definitions:

Task Significance

The degree to which a job has a substantial impact on the lives of other people, within or outside the organization.

Prosocial Motivation

The desire to expend effort to benefit other people.

Job Rotation

Rotating employees to different tasks and jobs in an organization.

Psychological State

The mental condition of an individual at a particular time, influenced by emotions, thoughts, and behaviors.