Required information

[The following information applies to the questions displayed below.]

Account No.	Account Title
(1)	Cash
(2)	Service Revenue
(3)	Accounts Receivable
(4)	Salaries Expense
(5)	Dividends
(6)	Common Stock
(7)	Salaries Payable
(8)	Retained Earnings

Which of the following is a true statement? (Note: A statement may be true even if it does not identify all accounts that appear on that particular financial statement.)

Multiple Choice

• Account numbers 2, 4, and 5 will appear on the income statement.

• Account numbers 1, 3, and 8 will appear on the balance sheet.

• Account numbers 2, 5, and 8 will appear on the statement of cash flows.

• Account numbers 4, 5, and 6 will appear on the statement of changes in stockholders equity.

Required information

[The following information applies to the questions displayed below.]

Account No.	Account Title
(1)	Cash
(2)	Service Revenue
(3)	Accounts Receivable
(4)	Salaries Expense
(5)	Dividends
(6)	Common Stock
(7)	Salaries Payable
(8)	Retained Earnings

Which of the following is a true statement? (Note: A statement may be true even if it does not identify all accounts that have debit balances on that particular financial statement).

Multiple Choice

• Account numbers 1, 3, and 5 normally have debit balances.

• Account numbers 2, 4, and 5 normally have debit balances.

• Account numbers 2, 5, and 8 normally have debit balances.

• Account numbers 4, 5, and 6 normally have debit balances.