Problem 3 On May 15, 2018 a customer of WingStop became seriously ill after eating at one of the company's new wing flavors. The customer filed a lawsuit against WingStop on June 1, 2018. At December 31,2018, WingStop estimated its probable loss in connection with the incident to be $50,000. In January 2019, before WingStop issued its financial statements, a judge ruled in favor of the customer and awarded the customer $80,000 in damages. Should the company recognize the effects of this ruling in its 2018 financial statements? Use only the FASB Codification to prepare your response. Include in your response specific Codification references