1. Determine which major balance sheet information requires supplemental disclosure. Illustrate your points with examples.

2. Given the following account information for Leong Corporation, prepare a balance sheet in report form for the company as of December 31, 2014. All accounts have normal balances.

Equipment                                                  60,000

Interest Expense                                           2,400

Interest Payable                                               600

Retained Earnings                                                ?

Dividends                                                   50,400

Land                                                         137,320

Accounts Receivable                                102,000

Bonds Payable                                            78,000

Notes Payable (due in 6 months)                29,400

Common Stock                                           70,000

Accumulated Depreciation - Equip.            10,000

Prepaid Advertising                                      5,000

Service Revenue                                       341,400

Buildings                                                    80,400

Supplies                                                        1,860

Income Taxes Payable                                  3,000

Utilities Expense                                           1,320

Advertising Expense                                     1,560

Salaries and Wages Expense                       53,040

Salaries and Wages Payable                             900

Accumulated Depr. - Bld.                           15,000

Cash                                                           45,000

Depreciation Expense                                   8,000