Post Graduate Essay

In addition, the study classify had encouraged her to illustrate her tentative answers with numerical illustrations using case data. precedent Knowledge Kim understood from the background readings assigned for her news report course that primarily Accepted Accounting Principles (GAAP) defined liabilities as Probable future sacrifices of scotch benefits arising from present obligations of a particular entity to transfer assets or provide work to other entities in the future as a result of historical transactions or events. Kim also knew under International Financial account Standards (IFRS) that liabilities were recognized on the balance sheet when It is probable that an outflow of resources embodying economic benefits will result from the settlement of a present obligation and the touchstone at which the settlement will take place can be measured reliably. Further, Kim understood from her readings that there was a special set of accounting rules covering contingent liabili ty recognition and disclosure. Under GAAP, a mishap is an existing condition involving uncertainty as to possible gain or loss.