The Dow Chemical Company provides chemical, plastic, and agricultural products and services to various consumer markets. The following excerpt is taken from the disclosure notes of Dow's 2006 annual report At December 31, 2006, the Company had accrued obligations of $607 million for environmental remediation and restoration costs, including $59 million for the remediation of Superfund sites. This is management's best estimate of the costs for remediation and restoration with respect to environmental matters for which the Company has accrued liabilities, although the ultimate cost with respect to these particular matters could range up to approximately twice that amount. Required: 1. Does the excerpt describe a contingent liability or a provision? contingent liability 2. Under what conditions would Dow accrue the loss? Dow considers the lia probable and the amount is reliably estimable. As a result, the accrued liabili 3. What journal entry did Dow use to record the provision (loss)? (Enter your answers in millions.) General Journal Debit Loss provision from environmental claims Liability for settlement of environmental claims oVO