Contingent Liabilities Examples

Contingent Liabilities as the name suggests are those liabilities, about which the company is not sure whether the company has to pay or not pay those liabilities and that is the reason why there are not shown on the liabilities side of the balance sheet but are shown in notes to accounts. Given below are some of the examples of contingent liabilities –

  1. Claims arising out of court cases against the company.
  2. Warranty Claims
  3. Claims not acknowledged as debts

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