he following statements is true? a. No loss contingencies should be disclosed if there is just a reasonable possibility of a loss. b. Indirect guarantees should normally be accrued. c. Losses may be accrued for unasserted claims and other potential unfiled lawsuits. d. In the case of loss contingencies, accrual can be made even if the exact payee and payment date are not
he following statements is true? a. No loss contingencies should be disclosed if there is just a reasonable possibility of a loss. b. Indirect guarantees should normally be accrued. c. Losses may be accrued for unasserted claims and other potential unfiled lawsuits. d. In the case of loss contingencies, accrual can be made even if the exact payee and payment date are not
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
Chapter14: Completing A Quality Audit
Section: Chapter Questions
Problem 5RQSC
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6. Which of the following statements is true?
a. No loss contingencies should be disclosed if there is just a reasonable possibility of a loss.
b. Indirect guarantees should normally be accrued.
c. Losses may be accrued for unasserted claims and other potential unfiled lawsuits.
d. In the case of loss contingencies, accrual can be made even if the exact payee and payment date are not
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