Several months ago, Jones Company experienced a spll of hazardous materials into the white River from ane of its plants. As a result, the Environmental Protection Agency (EPA) fined the company $405,000. The company contested the fine. In addition, an employee is seeking $180,000 damages related to the spill. Finally, a homeowner has sued the company for $260,000. Although the homeowner lives 30 miles downstream from the plant, he believes that the spill has reduced his home's resale value by $260,000 Jones' legal counsel belleves the following will happen in relationship to these incidents a. it is probable that the EPA fine will stand b. An out-of court-settlement for $165,000 has recently been reached with the employee, with the final papers to be signed next weak e. Counsel believes that the homeowner's case is weak and will be decided in favor of Jones Company d. Other litigation related to the sp is possble, but the damage amounts are uncertain Required Besed on this Information, journalize the contingent liabilities associated with the spill. Use the account "Damage Awards and Fines to recognlze the expense for the period. If an amount box does not require an entry, leave it blank or enter "0