Question 4 (1 point) PC Inc., a competitor of Champion Incorporated, filed a lawsuit against Champion for $430,000. Champion's lawyers reviewed the lawsuit and believe that, although PC has a valid case, the suit can be settled out of court for $210,000. Required 1. Assuming Champion Incorporated follows ASPE, indicate (yes or no) whether the company should recognize a contingent liability in its financial statements. (0.5 marks) 2. Indicate why a contingent liability should or should not be recognized. (0.5 marks)