Friendly Corporation is a diversified company that operates in five dif-
ferent industries: A, B, C, D, and E. The following information relating to each segment is available for
2004.

A B C D E
Sales Revenue $40,000 $75,000 $580,000 $35,000 $55,000
Cost of Goods Sold $19,000 $50,000 $270,000 $19,000 $30,000
Operating Expenses $10,000 $40,000 $235,000 $12,000 $18,000
Total Expenses $29,000 $90,000 $505,000 $31,000 $48,000
Operating Profit (loss) $11,000 ($15,000) $75,000 $4,000 $7,000
Identifiable Assets $35,000 $80,000 $500,000 $65,000 $50,000
Sales of segments B and C included intersegment sales of $20,000 and $100,000 respectively

Instructions:
a) Determine which of the segments are reportable based on the:
1) Revenue Test
2) Operating profit (loss) test.
3) Identifiable assets test.

b) Prepare the necessary disclosures required by GAAP

Answer will be sent by email as attachment.