A contingent liability is an obligation that depends on the occurrence of a future event and that should be recorded in the accounts: Group of answer choices If the amount is reasonably estimated If the related future event will probably occur The related future event will probably occur and the amount is reasonably estimated. If the amount is due in cash within one year

Q: A provision should be recognized when: O a. Present obligation from a past event, outflow that will…

A: Provision means an amount set side now to be payable in future because of some past event and…

Q: When should a company report the cost of an insurancepolicy as an expense?a. When the company first…

A: Insurance expense refers to the cost of insurance i.e. insurance premium incurred. An insurance…

Q: How are contingent liabilities accounting for? a) In your own word, what is a contingent liability?…

A: Note: Since you have posted multiple questions, we will solve the first question. Please submit a…

Q: PROVIS A provision is an existing liability of uncertain timing uncertain amount. The essence of a…

A: Provision is an amount kept separately for some uncertain event that may happen in the future (Just…

Q: ente the liability sec

A: Here Montano Inc. issued bonds at 9% when the market interest rate was 7%.  Due…

Q: When should a contingent liability be recognized and reported on the financial statements?  A.…

A: Contingent liability: A liability can occur on future uncertain events.

Q: What is/are the rule/rules (and the exceptions, if there be any) in case an object is lost or…

A: Fortuitous events refers to the happening of event through accident or chance. In short, it is a…

Q: long-term basis at the end of

A: Short-term obligation are those which mature within a period of one year. Long term obligations are…

Q: Which of the following items is most likely a short-term liability? Select one: a. Finance lease…

A: Answer is option c) Accounts payable

Q: Which of the following characteristic of a liability, if satisfied, would prompt the classification…

A: Current liabilities are a company's short-term financial obligations that are due within one year or…

Q: TRUE OR FALSE? A financial liability that is due within one year after the reporting period shall be…

A: The current liability is to be settled or paid within one year and long-term liabilities are those…

Q: Access the FASB Accounting Standards Codification at the FASB website…

A: Accrued Liabilities: Accrued liabilities are those expenses that are incurred but not yet paid.…

Q: anticipated liability, which may or may not arise in future in known as a Current Liability b.…

A: ⇔Debts or obligations that must be paid within a year are referred to as current liabilities,…

Q: Depending on when an unfunded pension liability is to be paid, it will be classified on the balance…

A: Yes, unfunded pension liability will be classified as a liability on the BS Balance Sheet It is…

Q: An obligation that is contingent on the occurrence of a future event should be reported in the…

A: Financial statements: The financial statements refer to the combination of a various statements like…

Q: Potential liabilities that depend on future events arising out of past events are calleda.…

A: Current liabilities: Current liabilities are the liabilities that are payable within a period of…

Q: All of the following are true of known liabilities except:   rev: 10_02_2019_QC_CS-184070 Top of…

A: liabilities are considered as legal financial debt or obligation that arises during the course of…

Q: Access the FASB Accounting Standards Codification at the FASB website ( asc.fasb.org ) Required:…

A: Accrued Liabilities: Accrued liabilities are those expenses that are incurred but not yet paid.…

Q: Which of the following is an arrangement by which one party promises to pay a sum of money to…

A: Insurance is a contract between two parties where one party i,e policy holder pays a premium to…

Q: Pursuant to the conceptual framework, for an item to be characterised as a liability the definition…

A: Two Examples of Liabilities: 1) Trade payables: Satisfy all the three essential characteristics of…

Q: Which of the following is a characteristic of a current liability but not a non- 1 pc current…

A: Answer: The following is the characteristic of current liability and not a non-current liability:…

Q: If an insured fails to pay the premium when due, the insured's heallh policy will remain in force…

A: Health insurance is a type of insurance that helps to pays for medical costs incurred as a result of…

Q: Current liabilities are obligations whose liquidation is reasonably expected to require the use of…

A: Liabilities: Liabilities are the obligation of the business or amount payable by the business.…

Q: Rebate on bills discounted is A liability Actual income Income received in advance An accrued income

A: Statement of financial position or balance sheet is one of a financial statement which helps…

Q: The accrual of a contingent liability and the related loss should be recorded when the a. Loss…

A: Accrued liability are refer as when probability of occurrence of the loss contingency is probable…

Q: __ is a contract that involves compensation for specific potential future losses in exchange for…

A: Step 1 Currency swap forward contracts are frequently used by companies with international market…

Q: How much is the contract revenue to date in the year 2019? (In a good accounting form)

A: A company has to recognize revenue and expenses in the year they are earned and incurred,…

Q: What is/are the rule/rules (and the exceptions, if there be any) in case an object is lost or…

A: Fortuitous events are the events that are considered as the "act of God" because naturally, the act…

Q: Which of the following is true about plan assets? Any excess return on plan assets are earned to…

A: Plan assets refer to the form of assets that are held onto by the owner for long-term employee…

Q: Under IFRS 15, when shall the incremental cost of obtaining a contract with a customer be recognized…

A: IFRS (International financial reporting standards) refer to a set of accounting guidelines and rules…

Q: A owes B. B assigns the credit to C. B is in good faith. It was agreed that B would be responsible…

A: As per the article 1629 of the civil code, Philippines, if the assignor has made himself liable for…

Q: choose the right answer e debts which are to be repaid within a short period (a year or less) are…

A: Liabilities: Liabilities refers to the financial obligation of the business it does not include…

Q: For a liability to exist  a. There must be a past transaction or event b. The exact amount must be…

A: Solution: A liability is a present obligation as a result of past event that requires outflow of…

Q: ll require the use of current assets. Payment of the obligation must be probable. The compensation…

A: The correct option is given as,

Q: Depending on the length of time, liabilities will either be categorized as current or long-term.

A: As per our protocol, we are not authorized to go external links to check the question. But yes,…

Q: which of the following instances would a liability that would otherwise be presented as current is…

A: Liability is an obligation that has to be paid by the company by sacrificing the assets. It is…

Q: Contingent liabilities must be recorded if: O The future event is probable and the amount owed can…

A: Contingent liability is the liability that occurs which depends on the future event that may or may…

Q: The Claims Made Policy Form will pay for looses that occur at which of the following times? After…

A: Claim made policy is referred to as an insurance policy, which helps in providing the coverage at…

Q: Short-term obligation refinanced on a long-term basis at the end of the reporting period is a…

A: A liability can be classified as either Current or Long term term liability. Current Liabilities…

Q: Warranty liability is an estimate based on past warranty claims. How might a company determine how…

A: Warranty Liability  MEANING : A warranty is a guarantee that a company will replace or fix a…

Q: One of examples of contingent liability is an: * a. Obligations related to product warranties b.…

A: As per IFRS 37 provisions, contingent liabilities and Contingent assets. A provision is an present…

Q: What accounts are used to record a contingent warranty liability that is probable and estimable…

A: Warranty is a form of assurance being provided by the seller to the buyer that if there will be any…