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A restaurant is being sued because a customer claims to have found a bug in her chili. The company's lawyers believe there is only a
A restaurant is being sued because a customer claims to have found a bug in her chili. The company's lawyers believe there is only a remote possibility that the lawsuit will result in an actual liability. Which of the following actions should be taken by the company's management? O A. An expense must be matched to the period in which the incident occurred. O B. The possible liability should not be shown in the financial statements. O c. The situation should be described in a note to the financial statements OD. The liability should be estimated and accrued as an expense
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