Discuss the accounting treatment or disclosure that should be accorded a declared but unpaid cash dividend: an accumulated but undeclared dividend on cumulative preferred stock: a stock dividend distributable. Under what conditions is an employer required to accrue a liability for sick pay? Under what conditions is an employer permitted but not required to accrue a liability for sick pay? Under what conditions should a contingent liability be recorded? Distinguish between a current liability and a contingent liability. Give two examples of each type