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Contingency account
CONTINGENCY ACCOUNT

Definition: A reserve set aside against unforeseen expense.
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* All six elements should be in.


1. Purposeful and necessary for who provides funds.

2. Amount will be under secure control and management.

3. Sum will be considered enough to meet the unforeseen.

4. Provision for accounting for funds will be in place.

5. Kept safe - can't be stolen, lost, misappropriated.

6. Serves purpose(s), whether or not reserve is used.
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>> 'emergency' was 'fuzzily' foreseen.

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