An item classified contingent asset can only be reclassified and recognised as an asset when the benefits from that asset are:
A)reasonably certain
B)virtually certain
C)probable
D)beyond reasonable doubt

Question

Quizplus · Accepted Answer

A contingent asset is reclassified and recognized as an asset on the balance sheet when the inflow of economic benefits associated with it is virtually certain. This means that the future events are expected to confirm that the asset has been acquired or controlled by the entity.

An Item Classified Contingent Asset Can Only Be Reclassified and Recognised