the following legal claims exist for kalamazoo company. identify the accounting treatment for each claim as either (a) a liability that is recorded or (b)an item described in notes to its financial statements. (8 points) (1) kalamazoo company (defendant) estimates that a pending lawsuit could result in damages of $1,250,000; it is reasonably possible that the plaintiff will win the case. (2) kalamazoo company faces a probably loss on a pending lawsuit; the amount is not reasonably estimable. (3) kalamazoo company estimates damages in a case at 3,500,000 with a high probability of losing the case. (4) kalamazoo company's attorneys believe a final case is weak and that the case will likely be dismissed prior to trial.