When Determining How Businesses Record or Do Not Record Contingent

question 80

Multiple Choice

When determining how businesses record or do not record contingent liabilities,which is NOT one of the three likelihoods that that are considered?

• A) remote
• B) reasonably probable
• C) probable
• D) reasonably possible

---

Definitions:

Magmatism

The geological process involving the generation, movement, and solidification of magma or molten rock beneath the Earth's surface.

Plate Boundaries

Regions where two tectonic plates meet, which can result in geological activity such as earthquakes and volcanic eruptions.

Thermal Disturbance

Localized or widespread change in temperature that affects an area's thermal equilibrium, often caused by geological events.

Felsic Magmas

Magma that is rich in lighter elements such as silicon and oxygen, often producing lighter-colored volcanic rocks.