Use the following key a-d) to identify the proper treatment of each contingent liability.
-Event is probably and amount is estimable
A)Record only
B)Record and disclose
C)Disclose only
D)Do not record or disclose

Question

Quizplus · Accepted Answer

When a contingent liability is probable and the amount can be estimated, it should be both recorded in the financial statements and disclosed in the notes to the financial statements.

Use the Following Key A-D) to Identify the Proper Treatment