For each of the following items (A L), indicate on which financial statement you would expect to

Question:

For each of the following items (A– L), indicate on which financial statement you would expect to find it and briefly explain why you chose that particular statement. Some items may appear on more than one statement.
1. Income statement
2. Statement of retained earnings
3. Statement of cash flows
________ A. Accumulated depreciation on equipment
________ B. Cash received from capital stock issued during the period
________ C. Cash paid for buildings during the period
________ D. Cost of merchandise sold during the period
________ E. Depreciation expense
________ F. Ending cash balance
________ G. Ending retained earnings
________ H. Interest payable, due in 30 days
________ I. Interest receivable
________ J. Interest revenue
________ K. Note payable, due in 10 years
________ L. Note receivable, due in 60 days
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...