Under what conditions a contingent liability should is recorded?
Question:
Under what conditions a contingent liability should is recorded?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 41% (17 reviews)
A contingent liability should be recorded and a charge accrued ...View the full answer
Answered By
Bhartendu Goyal
Professional, Experienced, and Expert tutor who will provide speedy and to-the-point solutions. I have been teaching students for 5 years now in different subjects and it's truly been one of the most rewarding experiences of my life. I have also done one-to-one tutoring with 100+ students and help them achieve great subject knowledge. I have expertise in computer subjects like C++, C, Java, and Python programming and other computer Science related fields. Many of my student's parents message me that your lessons improved their children's grades and this is the best only thing you want as a tea...
3.00+
2+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 978-0470423684
13th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
Question Posted:
Students also viewed these Accounting questions
-
In determining if a contingent liability should be recognized or not on the balance sheet at the report date, management must decide if there is a present obligation or a contingent obligation or...
-
Under what conditions a short-term obligation should be excluded from current liabilities?
-
Under what circumstances is a contingent liability disclosed only in the notes to the financial statements? Under what circumstances is a contingent liability not recorded in the accounts nor...
-
Role-play a human resources manager trying to convince the company CEO and two of his executives (role-played by three students) that introducing some of the rewards discussed in the case opening is...
-
True Fresh Grocery operates a chain of 40 grocery stores. Currently the company is considering starting a new division, TrueFresh.com, to provide home delivery services. Customers will be able to...
-
An ecological study was conducted to compare the rates of growth of vegetation at four swampy undeveloped sites and to determine the cause of any differences that might be observed. Part of the study...
-
A liquid (viscosity \(=0.002 \mathrm{~N} \cdot \mathrm{s} / \mathrm{m}^{2}\); density \(=1000 \mathrm{~kg} / \mathrm{m}^{3}\) ) is forced through the circular tube shown in Fig. P6.93. A differential...
-
OBrien Corporation is a midsize, privately owned, industrial instrument manufacturer supplying precision equipment to manufacturers in the Midwest. The corporation is 10 years old and uses an...
-
A house painter uses the chair and pulley arrangement of the figure to lift himself up the side of a house. the painter's mass is 72 kg and the chair's mass is 12 kg. With what force must he pull...
-
Sally, the Coding Supervisor for Davenport University Hospital, is requesting more inpatient coders as the coders in her department are always behind. She has the support of the Director; however,...
-
Define (a) A contingency (b) A contingent liability.
-
Distinguish between a current liability and a contingent liability. Give two examples of each type.
-
In Exercises plot the given point. ( 2 , 1)
-
A music school give both private lessons and group lessons. Private lessons all are one price, and group lessons all are a different price. Five private lessons and three group lessons cost $380. Two...
-
Leslie Sporting Goods is a locally owned store that specializes in printing team jerseys. The majority of its business comes from orders for various local teams and organizations. While Leslie s...
-
a. With many countries experiencing high inflation rates, there is a danger that some countries will experience stagflation. Use a graph(s), define, and explain stagflation and its consequences. (2...
-
You find the following corporate bond quotes. To calculate the number of years until maturity, assume that it is currently January 15, 2019. The bonds have a par value of $2,000 and semiannual...
-
Compare the volume required for a completely mixed flow reactor to that of a plug flow reactor to achieve a 104 reduction in the coliform count of a treated wastewater effluent. As per Chick's Model,...
-
Refer to the data in Example 1. Use the standard deviation to determine whether University A or University B has more dispersion in its students IQ scores. Approach We will use Minitab to determine...
-
The trade-off theory relies on the threat of financial distress. But why should a public corporation ever have to land in financial distress? According to the theory, the firm should operate at the...
-
This search algorithm is adequate for small arrays but not large arrays. a. Sequential search b. Binary search c. Natural order search d. Selection search
-
At the end of the year, Falabella Co. has pretax financial income of $550,000. Included in the $550,000 is $70,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and...
-
At the end of the year, Falabella Co. has pretax financial income of $550,000. Included in the $550,000 is $70,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and...
-
At the end of the year, Falabella Co. has pretax financial income of $550,000. Included in the $550,000 is $70,000 interest income on municipal bonds, $25,000 fine for dumping hazardous waste, and...
-
The articles of partnership for Pal - Trotter Partnership provide for a salary allowance of $ 5 , 3 0 0 per month for partner Trotter, with the balance of net income to be divided equally. If Trotter...
-
The City of Piglet reported property tax revenues in 2020 in the amount of $10 million. The deferred inflow-property taxes reported in the General Fund's balance sheet was $300,000 on December 31,...
-
Texas Roadhouse is expecting to earn $ 5 million in revenue for the next fiscal year. How much net income would the company need to generate from that revenue to achieve a net profit margin ratio of...
Study smarter with the SolutionInn App