items are taken from the financial statements of Longhorn Co. at December Prepare a classified balance sheet. 31, 2017. (LO 1), AP Buildings Accounts receivable Prepaid insurance Cash Equipment Land Insurance expense Depreciation expense Interest expense Common stock Retained earnings (January 1, 2017) Accumulated depreciation-buildings Accounts payable Notes payable Accumulated depreciation-equipment Interest payable Service revenue $105,800 12,600 3,200 11,840 82,400 61,200 780 5,300 2,600 60,000 40,000 45,600 9,500 93,600 18,720 3,600 14,700 Poge 20 EXERCISE 2-5 Prepare a Classified Balance Sheet Note: you must calculate ending retained earnings 1, calculate Net Income: CHAPTER 2 2nd, calculate Ending Retained Earnings Longhorn Company BALANCE SHEET Complete the date line continued on following page Page 21 EXERCISE 2-5 continued CHAPTER 2 BALANCE SHEET (continued) Check figures: Total Assets $212,720: Total Current Liabilities $26,700