QUESTION 4 Identify an appropriate accounting treatment (i.e., provision, contingent liability, contingent asset, none) for the following independent situations: 1. In August 2020, a worker was injured in the factory in an accident partially the result of his own negligence. The worker has sued Wesley Co. for $800,000. Counsel believes it is reasonably possible that the outcome of the suit will be unfavorable and that the settlement would cost the company from $250,000 to $500,000. 2. A suit for breach of contract seeking damages of $2,400,000 was filed by an author against Greer Co. on October 4, 2020. Greer's legal counsel believes that an unfavorable outcome is probable. A reasonable estimate of the award to the plaintiff is between $600,000 and $1,800,000. No amount within this range is a better estimate of potential damages than any other amount. 3. Quinn Ltd is involved in a pending court case and lawyers believe it is probable that Quinn Ltd will be awarded damages of $1,000,000