A Contingent Liability Is Recorded in the Accounting Records

question 14

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 possibly will become an actual liability and the exact amount is known.
• C)under no circumstances.
• D)if it probably will become an actual liability and the amount can be reasonably estimated.

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Definitions:

Strategic Approach

A methodical plan or way of addressing issues or achieving goals, focusing on long-term objectives and the resources needed to attain them.

Training

The process of enhancing the skills, capabilities, and knowledge of employees for effective performance in their job roles.

Orientation Checklists

Comprehensive lists used during the orientation process to ensure all necessary information and procedures have been covered with new employees.

Supervisor

An individual responsible for overseeing the work of others, typically managing employees and ensuring tasks are completed accurately and timely.