Exercise 5-2 Presented below are the captions of Faulk Company's balance sheet. Indicate where each of the following items would be classified. Balance Sheet Accounts Balance Sheet Classification 1. Preferred stock. Current Liabilities 2. Goodwill. Property, Plant, and Equipment Intangible Assets Retained Earnings 3. Salaries and wages payable 4. Accounts payable. Investments 5. Buildings. NonCurrent Liabilities Current Assets 6. Equity investments (to be sold within one year) Capital Stock 7. Current maturity of long-term debt Other Assets Additional Paid -in Capital 8. Premium on bonds payable. 9. Allowance for doubtful accounts. 10. Accounts receivable. 11. Cash surrender value of life insurance. 12. Notes payable (due next year). 13. Supplies 14. Common stock. 15. Land 16. Bond sinking fund. 17. Inventory 18. Prepaid insurance. 19. Bonds payable