Pacific cruise lines is a defendant in litigation involving a swimming accident on one of its three cruise ships.

required:

1. the likelihood of a payment occurring is probable, and the estimated amount is $1.29 million.

2. the likelihood of a payment occurring is probable, and the amount is estimated to be in the range of $1.09 to $1.29 million.

3. the likelihood of a payment occurring is reasonably possible, and the estimated amount is $1.29 million.

4. the likelihood of a payment occurring is remote, while the estimated potential amount is $1.29 million.

See attached accounting entries.

Explanation:

For question 1, the likelihood of a payment occurring is probable, the is chance that Pacific Cruise Lines will pay liability as such estimated amount of $1.29 million should be set aside.

For question 2, the likelihood of a payment occurring is probable, the is chance that Pacific Cruise Lines will pay liability as such estimated maximum amount of $1.29 million should be set aside.

For question 3, the likelihood of a payment occurring is reasonably probable, the is chance that Pacific Cruise Lines will pay liability as such estimated amount of $1.29 million should be set aside.

For question 3, the likelihood of a payment occurring is remote, that is, there little relationship with this case that cause Pacific Cruise Lines being liable to pay as such potential amount of $1.29 million should be set aside.

the definition of a small business is an independently owned and operated company that is limited in size and in revenue depending on the industry. a local bakery that employs 10 people is an example of a small business. a manufacturing facility that employees less than 500 people is an example of a small business.