All of the following are examples of contingent losses except?
A)Lawsuits
B)Income tax reassessments
C)Guarantees of third party debt
D)Warranties

Question

Quizplus · Accepted Answer

Contingent losses are potential losses that may occur based on future events or uncertain circumstances. Warranties are not contingent losses as they represent an existing obligation to repair or replace a product if it fails to perform as promised. Lawsuits, income tax reassessments, and guarantees of third party debt are all examples of contingent losses as they may or may not occur in the future based on certain conditions or events.

All of the Following Are Examples of Contingent Losses Except