DragonFly Corp. has brought suit against Komodo Dragon Company in the amount of $1,000,000 for breach of contract. As of December 31, the suit is in process. Based on the proceedings thus far, both attorneys believe that it is reasonably possible that DragonFly Corp. will win the entire $1,000,000. Therefore, DragonFly is facing a gain contingency (immaterial) and Komodo Dragon Company is facing a loss contingency. How should DragonFly Corp. and Komodo Dragon Company account for this transaction