An estimated liability: A) Is an unknown liability of a certain amount. B) Is a known obligation of an uncertain amount that can be reasonably estimated. C) Is a liability that may occur if a future event occurs. D) Can be the result of a lawsuit. E) Is not recorded until the amount is known for certain. Note:-
An estimated liability: A) Is an unknown liability of a certain amount. B) Is a known obligation of an uncertain amount that can be reasonably estimated. C) Is a liability that may occur if a future event occurs. D) Can be the result of a lawsuit. E) Is not recorded until the amount is known for certain. Note:-
Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter4: Professional Legal Liability
Section: Chapter Questions
Problem 11CYBK
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11) An estimated liability: A) Is an unknown liability of a certain amount. B) Is a known obligation of an uncertain amount that can be reasonably estimated. C) Is a liability that may occur if a future event occurs. D) Can be the result of a lawsuit. E) Is not recorded until the amount is known for certain.
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