1) Provision is liability

a) Of uncertain timing and amount

b) Present obligation as a result of past events
c) Of uncertain amount which is dependent on certain events.

2) Difference between liability and contingent liability?

3) Provision is recognized if

4) Whether the provision created for financial instruments and leases falls under
the scope of IAS 37?

a) Yes
b) No

5) Provision created for one purpose can be utilized to settle other obligation:

a) Yes
b) No

6) IAS 37 requires to disclose the following with respect to provisions

a) Reconciliation for each class separately for current year only

b) Reconciliation for each class separately for both current and prior year

7) Contingent liabilities are required to be

a) Recognized and disclosed properly
b) Disclosed only
c) Recognized only