Question 1: Use the following abbreviations to answer this question:

CA	Current assets
NCA	Non-current assets
CL	Current liabilities
NCL	Non-current liabilities
SC	Share capital
RE	Retained earnings
SI	Statement of income item
SCF	Statement of cash flows item
SCE	Statement of changes in equity item

Classify the following items according to where they would appear in the financial statements:

a. Accounts payable

b. Rent revenue

c. Unearned revenue

d. Property, plant, and equipment

e. Short-term investment in the shares of another company

f. Sales to customers

g. Repayment of the principal of a loan owed to a financial institution

h. Payment of interest on a loan owed to a financial institution

i. Common shares

j. Cash

k. Loan payable (debt due in 10 years)

2. Indicate whether each of the following items will be reported on the statement of financial position (SFP), statement of income (SI), both the statement of financial position and statement of income (B), or neither statement (N)for example, it might appear only on the statement of cash flows.

Temporary investments

a. Temporary investments

b. Repurchase of shares issued 10 years ago

c. Goodwill

d. Rent revenue

e. Goods held for resale to customers

f. Retained earnings

g. Interest expense

h. Increase in accounts receivable

i. Depreciation expense

j. Gain on sale of equipment