Before Diagnosis: No specific accounting entry is required unless there is a significant likelihood of disease that would impact the vines' useful life or value. In such cases, a contingent liability might be disclosed in the notes. Given the increasing incidence of diseases like Black Goo and Pierce's disease, Mike should consider disclosing this risk in the financial statements. After Diagnosis: If the vines are diagnosed with a disease, the useful life of the vines should be adjusted, and any impairment in value should be recognized as an expense. For example, if the disease reduces the vines' useful life from 100 years to 10 years, the remaining cost of the vines would be depreciated over the shorter period