pter 6-9 0 Saved Help Save & Exit Submit Didi Company is an accrual basis taxpayer. This year, an employee sued Didi for unlawful age discrimination, and the company's auditors required it to accrue a $500,000 liability for the estimated expense of settling this lawsuit. Which of the following statements is true? Multiple Choice Didi will be allowed a deduction in the year that it actually pays the settlement to the employee. Didi will be allowed a deduction in the year in which its liability for the settlement becomes fixed and the amount of the settlement can be estimated with reasonable accuracy. > c Didi can never deduct any expense in connection with this lawsuit. K Didi can deduct the accrued expense only if it makes a written disclosure to the IRS of the contingent liability (