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Whether the 'Provisions' in accounting are Liabilities in nature or otherwise?

Financial Accounting
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Question added by Abdul Basit Khawaja Siddiqui , Divisional Accounts Officer , Multan Electric Power Company (MEPCO) Limited Multan
Date Posted: 2014/04/17
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Muhammad Zubair
by Muhammad Zubair , CFO / Chief Accountant , RH Group

It depends the natures if it is applied for slow moving stock or bad debts then it will be contra for that asset if it is for taxation or warranty etc then it will be treated as a liabilities.

Deleted user
by Deleted user

Provisioin is of asset in nature.

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