Following are several financial statement classifications and accounts. Identify the proper financial statement classification for each account by placing the appropriate letter key in the space provided. (Some items may appear in more than one statement classification.)
R Revenue
E Expense
A Asset
L Liability
C Owner capital (balance sheet)
SC Statement of changes in owner equity
Example: A Cash
1. Notes payable
2. Additional investment by owner
3. Automobile
4. Depreciation expense automobile
5. Prepaid rent
6. Utilities expense
7. Consulting revenue
8. Accounts payable
9. Ending balance in owner capital
10. Office supplies
11. Accumulated depreciation automobile
12. Salaries payable
13. Office supplies expense
14. Service revenue
15. Interest expense
16. Accounts receivable
17. Loans made to other companies
18. Deposit made with utility company (to be repaid in 5 years to the company for which we are keeping the records)
19. Cash held in a separate bank account from that mentioned previously (to be used to buy a building in a few years)