A

D

Question: Account Classification, Financial Statement, Closing Accounts $(22$ Marks$)$

Color Me Happy Corporation has the following account information for the year ended December $31,2022.$

Required:

$($a$)$ Choose the appropriate classification for the account.

$($b$)$ Determine the financial statement$($s$)$ the account would be found on$.$

$($c$)$ Determine if the account would be required to be closed as part of the closing entries completed at year end.

$7$

$($a$)$ CLASSIFICATION

$11$ Account

$12$ Accounts Receivable

$13$ Allowance for Doubtful Accounts

$14$ Building

$15$ Cost of Goods Sold

$16$ Depreciation Expense

$17$ Dividends

$18$ Interest Expense

$19$ Preferred Shares

$20$ Rent expense

$21$ Retained Earnings

$22$ Salaries Expense

$23$ Sales

$24$ Supplies Expense

Unearned Revenue