Which one of the following would be considered a contingent liability?

Select one:

A. A company owes $22,000 on inventories purchased on credit

B. A company has $490,000 worth of bonds outstanding

C. A company estimates that it will probably have to pay $24,000 to the Department of Environment Protection for a chemical spill

D. The company has access to a line of credit with a bank in the amount of $288,000

E. The company believes that it is reasonably possible it will lose a lawsuit but is unable to determine the possible damages