Huprey Co. is the defendant in the following legal claims. For each of the following separate claims, indicate whether Huprey should (a) record a liability, (b) disclose in notes, or (c) have no disclosure.

1. Huprey can reasonably estimate that a pending lawsuit will result in damages of $1,250,000. It is probable that Huprey will lose the case.

2. It is reasonably possible that Huprey will lose a pending lawsuit. The loss cannot be estimated.

3. Huprey is being sued for damages of $2,000,000. It is very unlikely (remote) that Huprey will lose the case.