contingent liabilities? Which two conditions have to be met in der to report a contingent liability on a balance sheet?

Q: Describe the accounting for refund liabilities.

A: Liabilities:   The liabilities are the amount of money which a business has to pay to the outside…

Q: What three factors influence the dollar amount reportedfor liabilities?

A: Balance sheet have the dollar amount of liabilities, equity and assets of an entity. Liabilities are…

Q: Define Accrued liabilities.

A: Liability are the obligations owed by an organization to the outsiders. Liabilities are classified…

Q: The payment of a liability

A: The liability is the amount due to be paid by the business to its creditors.

Q: Under what conditions should a contingent liability berecorded?

A:

Q: Which of the options is an example of liability?

A: Liability is something a company  or person owes, usually a sum of money.  It denotes an obligation…

Q: For most long-term liabilities, an important consideration is that they are properly authorized.…

A: The long term liability is reported as a long term because they covers many years and the majority…

Q: n what way do assets differ from liabilities?

A: Solution: Asset is a resource owned by the business having some economic value with expectation of…

Q: Explain Options to Report Liabilities at Fair Value.

A: Introduction FASB introduces Fair Value Options to report assets and liabilities in fair value,…

Q: what conditions are not necessary to exclude a short term obligation from current liabilities?

A: Current liabilities: It refers to short term financial obligations that are to be discharged within…

Q: A. It is probable that an outflow of economic benefits will be required to settle an obligation B.…

A: Option D

Q: Define liabilities

A: Accounting:   Accounting is the process of recording the financial transaction of the organization…

Q: Under what conditions should a short-term obligation beexcluded from current liabilities?

A: Current liabilities: The debt obligations owed by a company to creditors and suppliers and are to be…

Q: Define current liabilities and list the typical liability categories included in this…

A: Current liability: Current liability is a debt that the companies need to pay the debts from…

Q: The adjusting entry to record a contingent liability requires a debit to a loss (or expense) account…

A: Contingent liability is a potential liability that arises as a result of past transactions but the…

Q: Fair Value (Liabilities) What is Fair Value for a liability? What would be an e.g? Please Explain.

A: The objective of this question is to understand the concept of 'Fair Value' in the context of a…

Q: Which of the following would not be considered a general long term liability? Select one: a. Long…

A: Short term obligations are the obligations that have to be paid within a  year. whereas, long term…

Q: Distinguish between financial liabilities and non-financial liabilities.

A: Liabilities are defined as the amount of money which is owed by a firm in exchange for goods and…

Q: What is the normal balance for liability accounts?

A: Liability is an obligation that an entity has to pay to its creditors, lenders, suppliers etc.

Q: Contingent liabilities that are classified as reasonably possible or probable must each be footnoted…

A: Contingent liabilities are potential future obligations dependent on specific events, such as…

Q: What is a contingent liability?

A: Liabilities are legitimately restricting commitments that are payable to someone else. In accounting…

Q: 1. Give an example of an asset and a liability.

A: The asset and liabilities are two important concepts for firms, banks, individuals, and other…

Q: To be recorded as a liability, does the obligation have to be absolute?

A: Accounts payable, short-term loans, interest payments, bank overdrafts, and other similar short-term…

Q: Contingent liabilities that are reasonably possible are disclosed in the notes. True or False True…

A: Contingent liabilities are potential obligations that may arise from future events, and their…

Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the contingency is likely to occur shortly.