Explain about the term- contingent liabilities, Financial Management

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Explain about the term- Contingent liabilities

Under IAS 37 provisions, contingent assets and contingentliabilities, contingent liabilities aren't recognised in the financial statements. Contingent liabilities are less than 50% probable however not remote. The users of accounts need information from the notes to make a proper assessment. Especially as probability figure can be manipulated.

 


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