Multiple Choice
To accrue a contingent liability means to:
A) report it as a footnote only.
B) disclose estimates of the liability.
C) make an adjusting journal entry.
D) do nothing.
Correct Answer:
Verified
Correct Answer:
Verified
Q27: Companies with longer payment periods are usually
Q28: An example of a contingent liability may
Q29: Long-term liabilities are mostly for:<br>A)operating activities<br>B)financing activities.<br>C)investing
Q30: Potential liabilities that depend on future events
Q31: On July 1st,Smith Corporation purchased $10,000 of
Q33: Current liabilities are expected to be paid
Q34: On April 1st,Jones Corporation purchased $15,000 of
Q35: If the accounts payable turnover is 7.9,what
Q36: The current portion of a long-term note
Q37: Contingent liabilities can never be long term.