Subsequent to the acquisition date, a contingent liability is measured as the amount initially recognized less, if appropriate, cumulative amortization recognized.

Name: Subsequent to the acquisition date, a contingent liability is measured as the amount initially recognized less, if appropriate, cumulative amortization recognized.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A contingent liability is not amortized. Instead, it is reassessed at each reporting date for any changes in the amount or likelihood of the obligation.

Subsequent to the Acquisition Date, a Contingent Liability Is Measured