Originally Posted by sunandaC
Recorded & Unrecorded Liabilities
The Liabilities can be further classified as Recorded Liabilities and Unrecorded
Liabilities. Recorded Liabilities are those Liabilities whose Existence of liability and Amount of liability are Certain. And an Unrecorded Liabilities are those whose Existence of Liability and Amount of Liability of is not certain.
Liabilities Existence of Liability Amount of Liability
Recorded Current Liability Certain Certain
Provision Certain Not Certain
Unrecorded Contingent Liability Not Certain Not Certain
Contingent Liability (Unrecorded Liability)
These are the liabilities which are not certain liabilities as on the date of Balance Sheet. These liabilities may arise in the future or may not arise in the future depending upon the outcome of specific event in the future which is uncertain at present.
As the existence of liability itself is not certain in the balance sheet, these are not recorded in the books of accounts.
Such liabilities appear by way of Foot – Note below the Balance sheet.
Please check attachment for Search for Unrecorded Accounts Payable, so please download and check it.