Question

Listed here are a number of financial statement captions. Indicate in the spaces to the right of each caption the category of each item and the financial statement(s) on which the item can usually be found. Use the following abbreviations:

Category Financial Statement
Asset A Balance sheet BS
Liability L Income statement IS
Stockholders' equity SE
Revenue R
Expense E
Gain G
Loss LS
Contra asset CA
Caption Category Financial Statement(s)
Accumulated depreciation
Long-term debt
Equipment
Loss on sale of short-term investments
Net income
Merchandise inventory
Other accrued liabilities
Dividends paid
Cost of goods sold
Additional paid-in capital
Interest income
Selling expenses
Financial statements:
There are four financial statements companies produce:
Income Statement
Balance Sheet
Shareholder's Equity
Statement of Cash Flows

Answer 1

Caption Category Financial Statement

Accumulated depreciation Asset Balance sheet

Long-term debt Liability Balance sheet

Equipment Asset Balance sheet

Loss on sale Loss Income Statement

of short-term investments

Net income Revenue Income Statement

Merchandise inventory Asset Balance sheet

Other accrued liabilities Liability Balance sheet

Dividends paid Equity Balance sheet

Cost of goods sold Expense Income statement

Additional paid-in capital Equity Balance sheet

Interest income Revenue Income statement

Selling expenses Expense Income statement