Disclosure of a contingent liability is usually made
A) parenthetically, in the body of the statement of financial position.
B) parenthetically, in the body of the income statement.
C) in a note to the financial statements.
D) in the management discussion section of the financial statements.

Question

Quizplus · Accepted Answer

Disclosure of a contingent liability is typically made in a note to the financial statements. This note provides important information about potential future obligations or risks that may affect the company's financial health. It is important for investors and stakeholders to be aware of these contingencies in order to make well-informed decisions about the company.

Disclosure of a Contingent Liability Is Usually Made