Pending lawsuits andproduct warrantiesare common contingent liability examples because their outcomes are uncertain. The accounting rules for reporting a contingent liability differ depending on the estimated dollar amount of the liability and the likelihood of the event occurring. The accounting rules ensur...
Contingencies might also includecontingent assets, which are benefits (rather than losses) that accrue to a company or individual given the resolution of some uncertain event in the future. A favorable ruling in a lawsuit or an inheritance would be an example of contingent assets. Contingency plans...
What are internal stakeholders in the strategic planning process? What are the goals and objectives in strategic planning? What is scenario planning? What are some examples of contingency planning? What is contingency planning in risk management?
What are the pitfalls of planning? What are some strategic planning tools? What is ORP in tactical planning? What is operational planning support? What are examples of strategic planning? What is non-tactical planning? What are the major decisions for operational planning?
In accounting, some contingent liabilities and their related contingent losses are: Recorded with a journal entry Are limited to a disclosure in the notes to the financial statements Not recorded or disclosed We have another Q&A that discusses the recording of contingent liabilities. Examples of Conti...
Examples of Estimated Liabilities Liabilities that are not contingent liabilities but are estimated liabilities include the following: The electricity and natural gas consumed but the bill has not been received An emergency repair that occurred but the bill has not been received Real estate taxes that...
Contingency plan examples Many plans focus on natural disasters such as floods, earthquakes or fires. Others deal with data breaches, unexpected network downtime or the loss of a key employee such as a CEO or founder. Here are a few examples of contingency plan templates that deal with broadly...
A contingency refers to a future event or situation that may occur but cannot be accurately predicted to say whether it definitely will or won't happen. Think of this like creating a plan for a possible what-if situation. Answer and Explanation: ...
· Schedule of the project considering deliverables and milestones · Dependencies Cost and money The last element of the project is money. This element includes everything, including the costs, expenses, revenue, contingencies, and profit. A project manager usually gets goals for all these things ...
ensure the availability of funds to honor claims, fulfill policy obligations, and manage unforeseen contingencies. By maintaining an adequate level of reserves, insurers can instill confidence in policyholders, regulators, and stakeholders, contributing to the long-term stability of the insurance industry...