A contingent liability is a potential cost a company may or may not incur in the future. A contingent liability could be a guarantee on a debt to another entity, a lawsuit, a government probe, or even ...

Accruing a likely contingent liability is part of responsible earnings management. Although you aren't likely to find the term "earnings management" in an accounting dictionary, the American Institute ...

In accounting, contingencies are events that take place in the current accounting period, but are not resolved until later. This requires small business owner to estimate the outcome of these events ...

Learn how adjusted book value measures a company's fair market valuation by adjusting liabilities and assets. Ideal for assessing distressed firms with tangible assets.

Discover how contingent guarantees protect sellers from non-payment. Learn their role in international trade and risk management, differentiating them from letters of credit.