Exercise 2-5

These items are taken from the financial statements of Longhorn Co. at December 31, 2017.

Buildings$105,800Accounts receivable12,600Prepaid insurance3,200Cash11,840Equipment82,400Land61,200Insurance expense780Depreciation expense5,300Interest expense2,600Common stock60,000Retained earnings (January 1, 2017)40,000Accumulated depreciation?buildings45,600Accounts payable9,500Notes payable93,600Accumulated depreciation?equipment18,720Interest payable3,600Service revenue14,700

classified balance sheet. Assume that $13,600of the note payable will be paid in 2018.(List current assets in order of liquidity and property plant and equipment in order of land, buildings and equipment.)