14. A competitor has sued an entity for unauthorized use of its patented technology. The amount that the entity may be required to pay to the competitor if the competitor succeeds in the lawsuit is determinable with reliability, and according to the legal counsel it is less than probable (but more than remote) that an outflow of the resources would be needed to meet the obligation. The entity that was sue should at year-end: a) Recognize a provision for this possible obligation b) Make a disclosure of the possible obligation in footnotes to the financial statements c) Make no provision or disclosure and wait until the lawsuit is finally decided and then expense the amount paid on settlement, if any d) Set aside, as an appropriation, a contingency reserve, an amount based on the best estimate of the possible liability