Ask Question
18 June, 09:34

A contingent liabilityA. definitely exists as a liability but its amount and due date are indeterminable. B. is accrued even though not reasonably estimated. C. is not disclosed in the financial statements. D. is the result of a loss contingency.

+4
Answers (1)
  1. 18 June, 12:24
    0
    D. is the result of a loss contingency.

    Explanation:

    The contingent liability is the liability which is arise but its result is uncertain. It is reported on the financial statements when the amount and the liability could be approximate or estimated

    We could also term as a loss that depend upon the event held in the future.

    Example: warranties of product, law suits, etc
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “A contingent liabilityA. definitely exists as a liability but its amount and due date are indeterminable. B. is accrued even though not ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers