Caroline Banton has 6+ years of experience as a writer of business and finance articles. She also writes biographies for Story Terrace. A contingent liability is a potential obligation that hinges on ...

A contingent liability is the possibility of a liability arising from a future event. The liability is contingent on whether or not the event occurs. The most common source of contingent liabilities ...

A provision is an expenditure relating to a particular accounting period, but not falling due on the date of financial statements. Since the expenditure relates to a particular financial period, a ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. In accounting, accrued expenses and provisions are financial obligations ...