(Classification of Balance Sheet Accounts) Presented below are the captions of Faulk Company’s balance sheet.
(a) Current assets.
(b) Investments.
(c) Property, plant, and equipment.
(d) Intangible assets.
(e) Other assets.
(f) Current liabilities.
(g) Noncurrent liabilities.
(h) Capital stock.
(i) Additional paid-in capital.
(j) Retained earnings.
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 maturity 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 taxes payable