Chloe Lock’s attorney suggested that she seek counseling after her second DUI. The charges were made after she was arrested while driving under the influence of alcohol. Chloe’s relationship with her husband has gradually deteriorated over the past year and primarily around arguments over her ongoing alcohol use. Chloe’s typical response to her husband’s concerns goes something like, "Alcohol is perfectly legal so what’s the big deal?" Chloe has continued her pattern of drinking since her last DUI. What is the most appropriate diagnosis to consider?

The following legal claims exist for m. finger co. 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. 1. m. finger (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. an item described in notes to its financial statements. a liability that is recorded. 2. m. finger faces a probable loss on a pending lawsuit; the amount is not reasonably estimable. a liability that is recorded. an item described in notes to its financial statements. 3. m. finger estimates damages in a case at $3,500,000 with a high probability of losing the case. an item described in notes to its financial statements. a liability that is recorded. the amount that m. finger co. should record in its accounting records related to these suits is: