Exercise 11-12 (book/static) s Question Help Ludeman Security Systems is a defendant in lawsuits brought against the monitoring service of its installed systems. Damages of $1 million are claimed against Ludeman Security Systems, but the company denies the charges and is vigorously defending itself. In a recent newspaper interview, the president of the company stated that he could not predict the outcome of the lawsuits. Nevertheless, he said management does not believe that any actual liabilities resulting from the lawsuits will significantly affect the company's financial position. Suppose that Ludeman Security Systems' lawyers advise that preliminary judgment of $300,000 has been rendered against the company on April 16. The company will appeal the decision. Required Describe how to report this situation in the Ludeman Security Systems financial statements. Journalize any entry required under ASPE. Explanations are not required. Since the court has awarded a judgement against Ludeman Security Systems, for the known amount of loss assessed against the company. Enter your answer in the answer box and then click Check Answer. parts remaining Clear All Check Answer E 07:07 17/10/2020