Which of the Following Would NOT Be Shown as a Contingent

question 16

Multiple Choice

Which of the following would NOT be shown as a contingent liability?

• A) Estimated future cost of providing superannuation for work already carried out by employees
• B) A dispute with the taxation department where legal advice suggests that the company will win the dispute
• C) A company providing a guarantee to a lender for a loan taken out by a subsidiary company where a default on the loan is very unlikely
• D) Company defending a claim for unspecified damages where the amount of the claim cannot be reliably measured

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Definitions:

Extraversion

A personality trait characterized by energy, positive emotions, and the tendency to seek out stimulation and the company of others.

Introversion

Introversion is a personality trait characterized by a focus on internal feelings rather than external sources of stimulation, often involving a preference for solitude or small group interactions.

Libido

In psychoanalytic theory, a term used by Sigmund Freud to describe the energy derived from sexual desires and instincts.

Life Energy

A concept in certain theories of psychology that describes a fundamental force vital for personal development and psychological health.