Which Statement Concerning Liabilities Is Not Correct

question 11

Multiple Choice

Which statement concerning liabilities is not correct?

• A) If a material liability fails the probability test, it may still warrant disclosure in the notes to the financial statements
• B) If a material liability cannot be measured reliably, then it should not be recognised in the accounts
• C) If the probability that a previously recognised liability will have to be settled falls below 50%, it should still remain in the balance sheet
• D) None of the statements is incorrect, i.e., all are correct statements

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