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1 Contingept liabilities Below are three independent situations: In August, 2023, a worker was injured in the factory in an accident partially the result of his own negligence. The worker has sued his employer, Prince Corp., for $500,000. Prince's legal counsel believes it is possible that the outcome of the suit will be unfavourable and that the settlement would cost the company from $150,000 to $400,000. 2 On October 4, 2023, a lawsuit for breach of contract seeking damages of $2,400,000 was filed by an author against Queen Corp. Queen's legal counsel believes that an unfavourable outcome is more likely than not. A reliable measurement of the award to the plaintiff is between $600,000 and $1,800,000. 3 King Ltd, is involved in a pending court case. King's lawyers believe it is likely that King will be awarded damages of $700,000. filed by an author against Queen Corp. outcome is more likely than not. A reliable measurement of the award to the plaintiff is between $600,000 and $1,800,000. 3 King Ltd, is involved in a pending court case. King's lawyers believe it is likely that King will be awarded damages of $700,000. Discuss the proper accounting treatment, including any required disclosures, for each situation. Give he rationale for your answers. Assume all companies involved use IFRS

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