Final answer:
A parking lot for employee use at a building is considered a fixed asset on a balance sheet and would be found under Property, Plant, and Equipment (PP&E). It contributes to the total assets, affecting the bank's net worth and capital.
Step-by-step explanation:
A parking lot servicing employees in a building would typically be classified on a balance sheet as a fixed asset. Fixed assets are long-term tangible assets that are used in the operations of a business and have a useful life of more than one year. In the context of a balance sheet, fixed assets such as a parking lot will be listed under the section titled Property, Plant, and Equipment (PP&E).
In accounting terms, considering a bank's balance sheet as a reference, assets like a parking lot contribute to the entity's net worth. They form part of the productive or operational capacity of a business. Along with cash in vaults, reserves held at the Federal Reserve, loans made to customers, and bonds, the parking lot would increase the total assets of a bank, thus influencing its bank capital.
Balance Sheet
A balance sheet is an accounting tool that lists assets and liabilities. On a balance sheet, a parking lot servicing employees in the building would be shown as a fixed asset under the 'Property, Plant, and Equipment' section. This is because it is a tangible asset that is owned by the company and is expected to provide economic benefits over a long period of time.