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P5-3 ( Balance Sheet Adjustment and Preparation ) The adjusted trial balance of Eastwood Company andother related information for the year 2014 are presented as follows .
Additional information : 1 . The LIFO method of inventory value is used .
2 . The cost and fair value of the long-term investments that consist of stocks and bonds is the same .
3 . The amount of the Construction in Progress account represents the costs expended to date on a
building in the process of construction . ( The company rents factory space at the present time .) Theland on which the building is being constructed cost $ 85,000 , as shown in the trial balance .
4 . The patents were purchased by the company at a cost of $ 40,000 and are being amortized on a
CA24-2 ( Disclosures Required in Various Situations ) Ace Inc . produces electronic components for sale tomanufacturers of radios , television sets , and digital sound systems . In connection with her examination ofAce ’ s financial statements for the year ended December 31 , 2015 , Gloria Rodd , CPA , completed field work2 weeks ago . Ms . Rodd now is evaluating the significance of the following items prior to preparing her auditor ’ sreport . Except as noted , none of these items have been disclosed in the financial statements or notes .
P24-2 ( Segmented Reporting ) Cineplex Corporation is a diversified company that operates in five differentindustries : A , B , C , D , and E .