Classification of Financial Statement Items
Classify each of the following items according to (1) whether it belongs on the income statement (IS) or balance sheet (BS) and (2) whether it is a revenue (R), expense (E), asset (A), liability (L), or stockholders' equity (SE) item.
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Item
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Appears on the
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Classified as
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Example: Cash
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BS
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A
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1. Salaries expense
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2. Equipment
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3. Accounts payable
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4. Membership fees earned
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5. Capital stock
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6. Accounts receivable
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7. Buildings
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8. Advertising expense
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9. Retained earnings
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