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Depending on one's perspective, a financial instrument can be ______.
A．an asset
B．a liability
C．either an asset or a liability
D．none of the above
1 A contingent asset should be disclosed by note if an inflow of economic benefits is probable.
2 A contingent liability should be disclosed by note if it is probable that a transfer of economic benefits to settle it
will be required, with no provision being made.
3 No disclosure is required for a contingent liability if it is not probable that a transfer of economic benefits to settle
it will be required.
4 No disclosure is required for either a contingent liability or a contingent asset if the likelihood of a payment or
receipt is remote.
A 1 and 4 only
B 2 and 3 only
C 2, 3 and 4
D 1, 2 and 4
A、become convertible to equity
B、convert automatically to equity
C、increase the equity conversion ratio
D、空
Which one of the following about contingent liabilities is not true？
A．Contingent liabilities are potential obligations that will become liabilities only if certain events happen in the future.
B．It is not necessary for contingent liabilities to be disclosed.
C．Litigation and guarantees are examples of contingent liabilities.
D．None of the above.
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