For Each Account Listed Identify the Category It Belongs To

question 57

Essay

For each account listed identify the category it belongs to, the normal balance (debit or credit), and the financial statement the account appears.
$$\begin{array} { | l | l | l | l | } \hline \text { Account } & \text { Category } & \text { Normal Balance } & \text { Financial Statement } \\\hline \text { 4. Cash } & \text { Asset } & \text { Debit } & \text { Balance Sheet } \\\hline \text { 1. Depreciation Expense } & & & \\\hline \text { 2. Accumulated } & & & \\\text { Depreciation } & & & \\\hline \text { 3. Wages Expense } & & & \\\hline \text { 4. Office Supplies } & & & \\\hline \text { 3. Office Supplies Expense } & & & \\\hline \text { 6. Wages Payable } & & & \\\hline \text { 7. Prepaid Rent } & & & \\\hline\end{array}$$

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Definitions:

Present Value

The immediate value assigned to a future sum of money or cash movements, based on a particular return rate.

Interest Period

The duration over which interest is calculated on a loan or investment, which could be monthly, quarterly, semiannually, or annually.

Bond Indenture

A legal document specifying the terms, conditions, and details of a bond issued by a corporation or government entity.

Corporation Issuing

The process by which a corporation releases or sells securities, like stocks or bonds, to raise capital.