Which of the following is true? a. A contingent liability should always be recorded in the footnotes

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Which of the following is true?

a. A contingent liability should always be recorded in the footnotes to the financial statements.

b. A contingent liability should always be recorded within the financial statements.

c. A company can choose to record a contingent liability either within its financial statements or in the footnotes to the financial statements.

d. No journal entries or footnotes are necessary if the possibility of a contingent liability is remote.

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Cornerstones Of Financial Accounting Current Trends Update

ISBN: 9781111527952

1st Edition

Authors: Jay Rich , Jeff Jones, Maryanne Mowen , Don Hansen

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