Most people are aware of loss contingencies, where a company writes down a portion of an asset when there is a likelihood that a loss will occur. Some companies have insurance policies to protect from loss, others take the write down. A loss contingency is used is to account for invoices that may not be collectible. You can see this pretty regularly as an Allowance for Bad Debt. The loss hasn’t occurred yet, but history shows that it is likely.
Just for fun I searched the Internet for trends in “accounting financial services.” I wanted to see how my target audience was viewing the shift in the industry from transactional to advisory services. My search revealed some interesting patterns. The one that stood out the most was the absence of small and mid-sized firms in the search results. I sifted through 5 pages of listings before finding a firm name that I didn’t recognize.