Product Recalls As Contingent Liabilities
Under what conditions do product recalls qualify as a contingent liability?
A
They are considered a contingent liability if the company receives a tax benefit from the recall.
B
They are considered a contingent liability if there is a high probability that the products will function to the customers' satisfaction.
C
They are considered a contingent liability if there is a low probability of a product recall occurring.
D
They are considered a contingent liability if there is a high probability of a product recall occurring.