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What are contingent liabilities? - Accounts

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What are contingent liabilities?

What is contingent liability?

लघु उत्तर
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उत्तर

  1. A contingent liability refers to a potential obligation based on a future event. A contingent obligation refers to an unclear situation that will be settled by a future event.
  2. For example, the liability on bills discounted with a bank would become payable only when the debtors on whom the bills are drawn do not honor the bills on their due dates.
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