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Business, 16.11.2020 17:50 officialgraciela67

Burger Barn has been named as a plaintiff in a $5 million lawsuit filed by a customer over the addictive nature of the company's burgers. Burger Barn's attorneys have advised them that the likelihood of a future obligation from the suit is remote. What should Burger Barn do as a result of the information that is available?a. Ignore the lawsuit in its financial statements b. Disclose the lawsuit in the notes to the financial statements c. Recognize a $5 million liability on its balance sheet for the contingency d. Settle with the customer immediately for $5 million to avoid harmful publicity.

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