Hawes Home Improvement Center has just completed its first year of operation. It has the following accounts in the general ledger. The bookkeeper is not sure which accounts should be reported on the balance sheet and how those accounts should be classified. Accounts payable Interest payable Accounts receivable Investment in equities Accumulated depreciation – equipment Merchandise inventory Accumulated depreciation – building Note payable, noninterest-bearing, Accumulated depreciation – vehicle due in 5 years Administrative expenses Note payable, due in 120 days Allowance for uncollectible accounts Paid-in-capital in excess of par value Building Prepaid insurance Cash and equivalents Retained earnings Common stock Sales Cost of goods sold Sales discounts Delivery vehicle Sales returns and allowances Discount on note payable Selling expenses Dividends payable Supplies Equipment Investment in Treasury Bills (short-term) Income tax expense Trademark 4.Determine the accounts that will appear in the current liability section of the balance sheet and the order in which they should be listed. 5.Determine the accounts that will appear in the long-term liability section of the balance sheet and the order in which they will be listed. 6.Determine the accounts that will appear in the stockholders’ equity section of the balance sheet and the order in which they should be listed.
Hawes Home Improvement Center has just completed its first year of operation. It has the following accounts in the general ledger. The bookkeeper is not sure which accounts should be reported on the balance sheet and how those accounts should be classified.
Accounts payable Interest payable
Accounts receivable Investment in equities
Accumulated depreciation – building Note payable, noninterest-bearing,
Accumulated depreciation – vehicle due in 5 years
Administrative expenses Note payable, due in 120 days
Allowance for uncollectible accounts Paid-in-capital in excess of par value
Building Prepaid insurance
Cash and equivalents
Common stock Sales
Cost of goods sold Sales discounts
Delivery vehicle Sales returns and allowances
Discount on note payable Selling expenses
Dividends payable Supplies
Equipment Investment in Treasury Bills (short-term)
Income tax expense Trademark
4.Determine the accounts that will appear in the current liability section of the balance sheet and the order in which they should be listed.
5.Determine the accounts that will appear in the long-term liability section of the balance sheet and the order in which they will be listed.
6.Determine the accounts that will appear in the
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