PROBLEM 14-5 Segmental Reconciliation LO 4 LO 5 Bismac Industries is a diversified company whose operations are conducted in five product lines, L, M, N, O, and P. Segmented financial information is to be included with the December 31, 2019 annual report. Financial information pertaining to each segment for 2019 is as follows: M N O P Sales $40.000 $ 85,000 $600.000 $50,000 $48.000 Cost of sales 15,000 45,000 275,000 22,000 29,000 Interest expense 4,000 11,000 50.000 4.000 1.000 Depreciation expense 3.000 8,000 54.000 6,000 5,000 Selling expense 8.000 32,000 140.000 9.000 10.000 Total cost and expense -32.000 96,000 519.000 41.000 45.000 Operating profit (los) 8,000 $11,000) S 81.000 $9,000 $3,000 Identifiable assets $30,000 $ 48,000 $320,000 $45,000 $95.000 Additional Information: 1. In addition to the identifiable assets listed, the general corporate office has assets of $90,00o on December 31, 2019, and incurred unallocated amounts related to corporate headquarters of interest expense $1,000, depreciation expense $2,000. 2. Included in the sales of segment Pare $15,000 of sales made to segment N during the year. None of these goods remains in the ending inventory of segment N on December 31, 2019. There were no capital expenditures during the year. 3. No single customer represented more than 10% of sales. Required: A. Determine which of the five segments must be treated as reportable segments and indicate the basis for your decision. Assume segments are defined based on product line. B. Prepare a financial report by segments that is reconciled to consolidated data