Penguin Office Equipment Co. has a fleet of automobiles and trucks for use by salespersons and for

Question:

Penguin Office Equipment Co. has a fleet of automobiles and trucks for use by salespersons and for delivery of office supplies and equipment. Sioux City Auto Sales Co. has automobiles and trucks for sale. Under what caption would the automobiles and trucks be reported on the of
(a) Penguin Office Equipment Co.,
(b) Sioux City Auto Sales Co.?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...