E 2 Presented below is the captions of Nikos Company’s balance sheet.
(a) Current assets.
(b) Investments.
(c) Property, plant, and equipment..
(d) Intangible assets.
(e) Other assets.
(f) Current liabilities. 3
(g) Non current liabilities.
(h) Capital stock
(i) Additional paid in capital.
(j) Retained earnings.
Instructions
Indicate by letter where each of the following items would be classified.
1. Preferred stock.
2. Goodwill.
3. Salaries and wages payable.
4. Accounts payable.
5. Buildings.
6. Equity investments (trading).
7. Current portion of long term debt.
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.
20. Income tax payable.