A contingent liability is a potential cost a company may or may not incur in the future. A contingent liability could be a guarantee on a debt to another entity, a lawsuit, a government probe, or even ...

When the FASB statement on business combinations was revised (modifying Statement no. 141 into Statement no. 141(R), now codified as FASB Accounting Standards Codification (ASC) Topic 805, Business ...

Discover how contingent guarantees protect sellers from non-payment. Learn their role in international trade and risk management, differentiating them from letters of credit.

Clay Halton was a Business Editor at Investopedia and has been working in the finance publishing field for more than five years. He also writes and edits personal finance content, with a focus on ...

Roula Khalaf, Editor of the FT, selects her favourite stories in this weekly newsletter. And so it began — the Lloyds statement detailing the bank’s plans to raise contingent capital is out. This is a ...

Probability is the theory that allows us to make an inference from a sample to a population. It provides the mathematical and theoretical basis for quantifying uncertainty. Probability is also used ...