Contingent Liability कब बनता है Real Liability? | Court Case Example | AS 29 | CA Inter

If the obligation to pay depends on a future uncertain event (such as the court's judgment), it is called a Contingent Liability. Before the judgment • No present obligation exists. • It is disclosed only in the Notes to Accounts. If the judgment goes against the company • The contingent liability becomes an actual liability. • It is recognized in the Balance Sheet. • The related loss is recorded in the Profit & Loss Account. This is one of the most important concepts in AS 29 and a topic every CA Inter student should master. At Sudarshan Agrawal Classes (SAGC), we make accounting concepts feel like common sense—because strong concepts build confident professionals. 🎓 CA Inter – Advanced Accounting 📍 Face-to-Face Classes: Esplanade, Kolkata 💻 Live on Zoom + Same-Day Recorded Lectures on the SAGC App Start your FREE 2 Week Demo today. 📞 / 🌐 #CAInter #AdvancedAccounting #AS29 #ContingentLiability #AccountingStandards #ICAI #CAStudents #CommerceStudents #ConceptClarity #AccountingMadeEasy #SAGC #SudarshanAgrawalClasses