(Classification of balance sheet accounts) Presented below are the captions of Faulk Company's balance sheet.

a. Current Assets f. Current Liabilities

b. Investments. g. Noncurrent liabilities

c. Property, plant and equipment h. Capital stock.

d. Intangible assets. i. Additional paid-in capital

e. Other assets. j. Retained earnings

Instructions

Indicate by letters where each of the following items would be classified

1. Preferred stock 11. Cash surrender value of life insurance

2. Goodwill 12. Notes payable (due next year)

3. Salaries and wages payable 13. Supplies

4. Accounts payable. 14. Common stock

5. Buildings 15. Land

6. Equity investment (trading) 16. Bond sinking fund

7. Current maturity of long term debt. 17. Inventory

8. Premium on bonds payable 18. Prepaid insurance

9. Allowances for doubtful debts 19. Bonds payable

10. Accounts receivable 20. Income taxes payable