Use the Following Code to Identify the Financial Statement(s)where Each

question 124

Short Answer

Use the following code to identify the financial statement(s)where each of these line items is shown.(Remember that some line items may be found on more than one statement.)
a.Balance sheet
b.Income statement
c.Statement of changes in shareholders' equity
d.Statement of cash flows
______ 1.Interest receivable
______ 2.Interest expense
______ 3.Interest paid to creditors
______ 4.Office supplies
______ 5.Depreciation expense
______ 6.Equipment
______ 7.Accumulated depreciation
______ 8.Office supplies expense
______ 9.Prepaid rent
______ 10.Rent expense

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Definitions:

Balance Sheet

A financial statement that shows a company's assets, liabilities, and shareholders' equity at a specific point in time.

Liability

Financial obligations or debts owed by a business to others, which must be settled over time through the transfer of economic benefits.

Cash Flows

The inflows and outflows of cash and cash equivalents, reflecting the operational, investing, and financing activities of a business.

Wages and Salaries

Compensation paid to employees for their labor, including hourly pay (wages) and fixed annual or monthly pay (salaries).