Question

The following account titles were drawn from the general ledger of Holt Food Supplies, Incorporated (HFSI): Computers, Operating Expenses, Rent Revenue, Building, Cash, Notes Payable, Land, Utilities Payable, Utilities Expense, Trucks, Gasoline Expense, Retained Earnings, Supplies, Accounts Payable, Office Furniture, Salaries Expense, Common Stock, Service Revenue, Interest Expense, Dividends, Supplies Expense.

Required
a. List each account title under the element of the accounting equation to which it belongs.

Answer 1

Answers

Assets	=	Liabilities	+	Stockholder's Equity
Computers		Notes Payable		Operating expenses
Building		Utilities Payable		Rent Revenue
Cash		Accounts Payable		Salaries expenses
Land				Common Stock
Office Furniture				Service Revenue
Supplies				Interest Expenses
Truck				Dividends
				Supplies expenses
				Gasoline expense
				Retained Earnings
				Salaries expenses

--Asset contains all Asset nature accounts.
--Liabilities contain short term and long term liabilities
--Stockholder’s equity includes common stock, dividends and retained earnings, which means it also contains Revenues and expense nature accounts.