For each of the following items that appear on the balance sheet, identify each as an asset (A), liability (L), or elem
Posted: Sat Aug 07, 2021 7:12 am
For each of the following items that appear on the balance sheet, identify each as an asset
(A), liability (L), or element of stockholders' equity (SE). For any item that would not appear on
the balance sheet, write the letter, N.
Retained earnings _______
Accounts payable _______
Selling expense _______
Common stock _______
Accounts receivable _______
Income tax expense _______
Dividends _______
Property and equipment _______
Answer:
Retained earnings SE
Accounts payable L
Selling expense N
Common stock SE
Accounts receivable A
Income tax expense N
Dividends N
Property and equipment A
Difficulty: 1 Easy
Topic: Financial statements-Balance sheet
Learning Objective: 01-01 Recognize the information conveyed in each of the four basic
financial statements and the way that it is used by different decision makers (investors, creditors,
and managers).
(A), liability (L), or element of stockholders' equity (SE). For any item that would not appear on
the balance sheet, write the letter, N.
Retained earnings _______
Accounts payable _______
Selling expense _______
Common stock _______
Accounts receivable _______
Income tax expense _______
Dividends _______
Property and equipment _______
Answer:
Retained earnings SE
Accounts payable L
Selling expense N
Common stock SE
Accounts receivable A
Income tax expense N
Dividends N
Property and equipment A
Difficulty: 1 Easy
Topic: Financial statements-Balance sheet
Learning Objective: 01-01 Recognize the information conveyed in each of the four basic
financial statements and the way that it is used by different decision makers (investors, creditors,
and managers).