Kathy Choi, a public accountant, has completed the audit of notes payable and other liabilities for Valley River Electrical Required a. Distinguish between contingent liabilities and commitments and explain why both are important in an audit. b. Describe how Kathy's testing of the audit of notes payable earlier in the audit process might help her obtain evidence about the presentation and disclosure audit objectives. c. Identify three useful audit procedures for uncovering contingent liabilities that Kathy would likely perform in the normal conduct of the audit, even if she had no responsibility for uncovering contingencies d. Identify three other procedures Kathy would likely perform specifically for the purpose of identifying undisclosed contingencies. m Requirement a. Distinguish between contingent liabilities and commitments and explain why both are important in an audit Begin by defining contingent liabilities. OA. A contingent liability is a definite future obligation to an outside party for a known amo