
Concept explainers
(a)
Concept introduction:
Contingent Liabilities
Liabilities which depends on the occurrence of any event in the future due to happening of any event in past are known as contingent liabilities. An example of
The effect of the contingent liabilities associated with material spill on the accounts and financial statements.
(b)
Contingent Liabilities
Liabilities which depends on the occurrence of any event in the future due to happening of any event in past are known as contingent liabilities. An example of contingent liability is the pending lawsuit against company, which if goes against, can damage the company.
To prepare:
A disclosure in notes of financial statements.

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Chapter 8 Solutions
CengageNOWv2, 1 term Printed Access Card for Warren's Survey of Accounting, 8th
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