The Following Accounts Are on the Balance Sheet Section of Great

question 50

Essay

The following accounts are on the Balance Sheet section of Great Lakes Camping worksheet for the month ended January 31, 2019.
Required: Prepare a classified balance sheet.
$$\begin{array} { | l | c | c | } \hline \text { Account } & \text { Balance Sheet Debit } & \text { Balance Sheet Credit } \\\hline \text { Cash } & 2 & \\\hline \text { Accounts Receivable } & 4 & \\\hline \text { Merchandise Inventory } & 2 & \\\hline \text { Store Equipment } & 6 & \\\hline \text { Accumulated Depreciation - Store Equipment} & &2 \\\hline \text { Accounts Payable } & & 3 \\\hline \text { Mortgage Payable } & & 6 \\\hline \text { Great Lakes, Capital } & &2 \\\hline\end{array}$$ Additional information: Withdrawals for the period are $2, and Net Income is $3.

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Definitions:

Common Stock

A type of security that represents ownership in a corporation, with holders entitled to vote on corporate matters and receive dividends.

Journal Entries

Records of financial transactions in the accounting system, marked by debits and credits to maintain the balance of accounts.

Stock Securities

Equities or shares in corporations, representing a fraction of ownership in the company; these can provide dividends and potential appreciation in value to its holders.

Long-Term Investment

Investments in securities or other assets that are intended to be held for several years or more.