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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FR Exams › Contingent assets/ liabilities
Dear sir,
Please could you clarify the following for me.
I understand that in an entities own financial statements a contingent liability is not recognised and only disclosed and likewise a contingent asset is not recognised and only disclosed if probable.
Could you clarify the treatment in group accounts – am I right in saying that both are included as provisions upon consolidation?
Thanks
Yes, you are correct on all counts
