Consider the Following Accounts and Identify Each as an Asset

question 77

Essay

Consider the following accounts and identify each as an asset (A), liability (L), or equity (E).
$$\begin{array} { | l | l | } \hline \text { Common Stock } &\quad\quad\quad\quad \\\hline \text { Accounts Receivable } & \\\hline \text { Dividends } & \\\hline \text { Service Revenue } & \\\hline \text { Prepaid Rent } & \\\hline\end{array}$$

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Definitions:

Possession

The state of having, owning, or controlling something, typically physical.

Bailment

The act of temporarily placing control over or possession of personal property in another's hands, for a specific purpose.

Reward

A benefit or recognition given in response to an action, achievement, or service, often used as motivation or compensation.

Garage

A building or indoor space primarily used for parking vehicles, but may also serve as a workshop or storage area for various items.