1. Financial Statement Classifications (10 marks) Financial statement classifications used by Cashew Corp. follow: Statement of Financial PositionIncome or Retained Earnings Statement a.Current Assetsj. Sales Revenue b.Investmentsk. Cost of Goods Sold c. Property, Plant, and Equipmenti. Operating Expenses d.Intangible Assetsm. Other Revenues and Gains e Other Assetsn.Other Expenses and Losses f.Current Liabilitieso. Retained Earnings g.Long-term Debtp. Not on the statements h.Capital Shares i.Retained Earnings I Instructions Specify, to the left of each account or item below, the letter of the financial statement classification the account would appear in. Use only the classifications shown 1. Preferred Shares 16. Merchandise Inventory 2.Loss on Disposal of Equipment17 Salaries and Wages Expense 3.Buildings18. Merchandise on order with supplier 4.Office Supplies Expense 19. Interest Revenue 5.Allowance for Doubtful Accounts20. Selling Expense 6.Notes PayableShort Term 21.Interest Expense 7. Accum. Depreciation-Buildinbs22. Taxes Payable 8. Mortgage Payable due 202723.Insurance Expense 9.Depletion Expense24. Advertising Expense 755 words English is AY ... 8. Mortgage Payable due 202723.Insurance Expense 9.Depletion Expense24.Advertising Expense 10.Freight-Out25. Long-Term Investments 11.Sales26. Accounts Receivable 12. Dividends Declared27.Land 13.Retained Earnings 28.Accounts Payable 14. Cash29. Error made in calctplating prior year's depreciation expense 15. Sales Discounts 30.Gain from early retirement of debt