The Full Disclosure Principle Requires Inclusion of Information About Contingent

question 188

True/False

The full disclosure principle requires inclusion of information about contingent liabilities that are reasonably possible in the notes to the financial statements.

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Definitions:

Consensus

A general agreement among a group of people, often used as a means of decision-making.

Fundamental Attribution Error

Refers to the tendency of individuals to overemphasize personality-based explanations for behaviors observed in others while underestimating the influence of situational factors.

Attribution Theory

A psychological theory focused on how individuals interpret events and how this relates to their thinking and behavior.

Pretentious

Characterized by an attempt to seem more important or knowledgeable than one actually is, often by affecting greater importance or merit.