EXERCISE 1 For each account listed in 1 through 12 below, identify which reporting section (a through d) each would appear on a company's financial statements. You may use each letter more than once or not at all. Reporting Sections of Financial Statements a. Balance sheet-property, plant, and equipment b. Balance sheet-intangible assets c. Balance sheet-other d. Income statement EXERCISE 2 For each transaction numbered 1 through 6 below, identify its effects on the accounting equation by selecting from the effects listed in a through f. You may use each letter more than once or not at all. EXERCISE 3 For each transaction numbered 1 through 5 below, identify in which account listed in a through d it would be reported. You may use each letter more than once or not at all. Accounts a. Land b. Buildings c. Equipment d. Not capitalized EXERCISE 4 For each cost that appears in items 1 through 6 below, select the account in which it would be included and reported from those listed in a through c. You may use more than one answer for each cost. If the cost is not capitalized, place an X in the space provided. Accounts a. Land b. Buildings c. Equipment Select the method of depreciation listed in a through c that is best for each purpose listed in items 1 through 4. Methods a. Straight-line b. Units-of-production c. Double-declining-balance