On June 30, an improperly stacked box fell from a shelf of your warehouse, injuring an employee. The employee was hit, fell, and broke his wrist. Your company self-insures rather than paying an insurance company to absorb the risk of such incidents. The employee has been treated for his injury and has retained a lawyer. The lawyer has not filed a claim with the company. You estimate that the amount of the claim could range between $50,000 and $300,000.

Is your company required to record a liability for this incident?

When and for what amount? What disclosures are required, if any?

Cite the relevant FASB ASC references to support your answers.