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The term contingent means a thing that is subject to happen or an event that could have possibly two or more than two results. So, you might have already known that assets are profits, gains, revenue, property, shares, etc and liabilities are losses that might occur due to some bad decisions. On an individual level, the money invested in a fixed deposit is an asset and the debt acquired due to a car loan is a liability. So, a contingent asset is a possible or probable profit or earning that might happen in the future. The company is not sure about the future decisions so this asset is not counted or mentioned on the balance sheet. However, in some cases, if the company is fairly certain that the contingent asset will soon turn into their favor then it is included in the balance sheet and now it is called realized balance sheet. The same is the case with contingent liabilities. The concept is too difficult to understand when it is based on case studies of big companies. So, instead of staring at your textbooks for a solution you should use professional Contingent Assets and Contingent Liabilities assignment help service.
To further simplify the concept of Contingent Assets and Contingent Liabilities let's take an example. Suppose there is a legal case of patent infringement is going on in the court. If the company wins, they will gain billions in return and if they lose, then they have to pay a royalty to the other company. So, this is a very simplistic example of contingent assets and contingent liabilities. Gulfassignmenthelp knows that understanding a concept and to write an assignment on it is not the same thing, that is why our suggestion is that students use Contingent Assets and Contingent Liabilities assignment help service.
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