A Contingent Liability Is a Potential,rather Than an Actual Liability,because

question 18

True/False

A contingent liability is a potential,rather than an actual liability,because it depends on a future event.

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Definitions:

Organizational Strength

The unique capabilities and resources that give an organization a competitive advantage or make it effective in achieving its goals.

Performance Advantage

A superior ability to perform a task or achieve goals compared to competitors or standards.

Diversification

A risk management strategy that involves spreading investments across various financial instruments, industries, or other categories to reduce exposure to any one particular risk.

Ethical Expectation

The moral standards or codes of conduct expected by a society, organization, or professional group from its members.