Which of the Following Is True of a Contingent Liability

question 146

Multiple Choice

Which of the following is true of a contingent liability?

• A)It is a potential liability that depends on a future event.
• B)It is an actual liability that is difficult to estimate.
• C)It is an actual liability that depends on a past event.
• D)It is a liability resulting from a lawsuit settled in court.

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Definitions:

Cyclic Alkanes

Alkanes that contain a ring of carbon atoms in their molecular structure, differing from straight-chain alkanes.

Cyclohexane

A cycloalkane with the molecular formula C6H12, it is a colourless, volatile liquid with a distinct odor, primarily used as a nonpolar solvent.

Molecular Formula

A notation that uses chemical symbols and numbers to represent the types and quantities of atoms in a molecule.

Cyclooctane

Cyclooctane is a cyclic hydrocarbon with the molecular formula C8H16, featuring eight carbon atoms connected in a ring.