A Contingent Liability Is Recorded in the Accounting Records

question 57

Multiple Choice

A contingent liability is recorded in the accounting records

• A) if the contingency has not been described already in the notes to the financial statements.
• B) if it probably will become an actual liability and the exact amount is known.
• C) under all circumstances.
• D) if it probably will become an actual liability and the amount can be reasonably estimated.

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Definitions:

Non-being

The state or condition of not existing or the concept of absence, often explored in existential and philosophical contexts.

Existential Therapist

A specialist in existential therapy, focusing on helping individuals confront existential questions and issues such as meaning, choice, and death to lead more authentic lives.

Experience

The knowledge or skill acquired by observing, encountering, or undergoing events or situations.

De-reflection

A therapeutic technique aimed at diverting focus from self-concern to external tasks or others' well-being.