![]() Related Questions Latest Answer : Contingent Liability - A liability that may or may not occur. ... Read Answers (20) | Asked by : Ayaz Ahmed Which of the following dose not included in the Government accounting Balance sheet: 1) Asset, 2) Cost, 3) Liability, 4) Surplus. Read Answers (7) | Asked by : cc What is Contingent Liability? Latest Answer : Contingent liabilities are liabilities that may or may not be incurred by a company and which depend on the outcome of a forthcoming event ... Read Answers (1) | Asked by : Nitin Jadhav Why it is necessary to create contingent liability? How this liability helps the banker to relieve from the future liability due to default in payment by the concerned party? Latest Answer : It is not necessary to create contingent liabilities.If any such liability exists then it must be shown in the balance sheet. But you don't have to create any for the heck of it.Moreover it does not help in anything if you show your contingent liabilities ... Why net profit is shown in the liability side of the balance sheet? Latest Answer : Net profit is shown in Liability side because of Net profit is liability to owner/shareholder. ...
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