Exercise 3-2 (Static) Balance sheet classification (LO3-2, 3-3] The following are the typical classifications used in a balance sheet: a. b. C. d. e Current assets Investments Property, plant, and equipment Intangible assets Other assets f. Current liabilities g. Long-term liabilities h. Paid-in capital i. Retained earnings Required: For each of the following balance sheet items, use the letters above to indicate the appropriate classification category. (If the item is a contra account, select the appropriate letter with a minus sign.) 1. 10. 11. 2. 3. 12 4. 13. 5 Equipment Accounts payable Allowance for uncollectible accounts Land (held for investment) Notes payable (due in 5 years) Deferred revenue (for the next 12 months) Notes payable (due in 6 months) Accumulated amount of net income less dividends Investment in XYZ Corp. (long-term) 14. Inventory Patent Land (used in operations) Accrued liabilities (due in 6 months) Prepaid rent (for the next 9 months) Common stock Building (used in operations) Cash Income taxes payable 6. 15. 7. 16. 8. 17 9. 18