Could somebody please explain me what kind of expenses are the "contingency expenses" for example in the monthly reporting (finance)?
I do have a clue but I would need to know for sure.
thank you in advance
sturkki said:yes, by "monthly reporting" I refer to the report done in all the companies in order to close the financial movements of the month, including different kinds of expenses.
Kelly B said:If I understand it correctly, a contingency fund or account is a budgeted amount intended to cover unplanned costs. It is rather like insurance. You set some extra money aside, in case someone spills coffee in the copy machine, or you get a rush job and need to hire a temporary worker, or the price of heating oil suddenly goes up, or....
"the Board intended to create a 'contingency account' ... 'to assist other entities' and 'respond effectively to any unexpected needs as they arise...'"
"...contingency fund to cover potential misestimates and unforeseeable events"