Decorative Concrete produces a concrete overlay for residential and commercial concrete flooring. Customers have complained that one of the products results in excessive cracking. The likelihood the company will incur a loss on this product is probable and the amount of the loss is estimated to be somewhere between $1.8 and $3 million. 1. Should this contingent liability be reported, disclosed in a note only, or both? To be reported To be disclosed Both 2. What loss, if any, should Decorative Concrete report in its income statement? (Enter your answers in dollars, not in millions.) Loss to be reported 3. What liability, if any, should Decorative Concrete report in its balance sheet? (Enter your answers in dollars, not in millions Liability to be reported 4. What entry, if any, should be recorded? (If no entry is required for a particular transaction/event, select "No Journ Required in the first account field. Enter your answers in dollars, not in millions.) View transaction list Journal entry worksheet Record the contingent liability if needed. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general Journal Reeves Co. fled suit against Higgins, Inc., seeking damages for copyright violations. Higgins' legal counsel believes it is probable that Higgins will settle the lawsuit for an estimated amount in the range of $130,000 to $230,000, with all amounts in the range considered equally likely. How should Higgins report this litigation? Multiple Choice o As a bity for $30.000 with closure of the range o As alability for $230.000 with disclosure of the range As a bity for $180.000 with closure of the range As a closure only No sabaty is reported