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Admitted Assets Are Those Specifically Prescribed by the NAIC Accounting

Question 105

Multiple Choice

Admitted assets are those specifically prescribed by the NAIC Accounting Practices and Procedures Manual or prescribed or permitted by the various jurisdictions. An admitted asset is defined as having probable future economic benefits. It also has three essential characteristics. Which one of the following is out of those characteristics?


A) It embodies a probable future benefit which contributes to cash flow
B) A particular entity can obtain this benefit
C) The transaction giving rise to entity's right to control the benefit has already occurred
D) All of these

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