An Obligation That Involves an Existing Condition for Which the Outcome

question 147

Short Answer

An obligation that involves an existing condition for which the outcome is not known with certainty and depends on some event that will occur in the future is call a(n)__________.

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Definitions:

Adjusting Entries

Journal entries made before the preparation of financial statements to ensure that revenues and expenses are recognized in the period they occur.

Employee Discrimination Lawsuit

A legal claim brought by employees against an employer alleging unlawful discrimination in the workplace.

Product Liability Lawsuit

Legal action taken against a manufacturer or seller for producing or selling a defective product that causes injury or harm to the consumer.

Vacation Pay

A benefit provided by employers that pays employees while they are on holiday.