[aheadofthegame]

Account Major Classification -> Asset (A), Liability (L), Owner's Equity (OE), Revenue (R), Expense (E), Not Applicable (NA)

Contra account -> place an X after the account if the item is a contra account

Account Sub Classification -> Current Asset (CA); Investments (INV); Property, Plant & Equipment (PPE); Intangible Assets (INT); Current Liability (CL); Long-term liability (LTL); Sales (S); Cost of Merchandise sold (COMS); Operating Expenses - Administrative Expense (OEAE); Operating Expenses - Selling Expense (OESE); Other Income (OI); Other Expense (OE) or Not Applicable (NA)

Normal Balance -> debit (DR) or credit (CR) or Not Applicable (NA)

Financial Statement -> Income Statement (IS), Statement of Owner's Equity (SOE), Balance Sheet (BS) or Not Applicable (NA)

Temporary or Permanent -> T for temporary (nominal) accounts and P for permanent (real) accounts

1. Accumulated Depletion
2. Allowance for Doubtful Accounts
3. Amortization Expense
4. Bad Debts Expense
5. Cost of Merchandise Sold
6. Depletion Expense
7. Dividend Revenue
8. Gain on Disposal of Fixed Assets
9. Goodwill
10. Interest Expense
11. Interest Revenue
12. Loss on Disposal of Fixed Assets
13. Merchandise Inventory
14. Notes Receivable due in 2 years
15. Patents
16. Petty Cash
17. Purchases
18. Purchases Discounts
19. Purchases Returns and Allowances
20. Rent Revenue
21. Salaries Expense
22. Salaries Payable
23. Sales
24. Sales Discounts
25. Sales Returns and Allowances
26. Sales Tax Payable
27. Transportation In
28. Delivery Expense
29. Uncollectible Accounts Expense
30. Utilities Expense


I really hope someone can help me with this...
I absolutely have no clue at all :/

Thank you guys so much!

[Just Looking]

Please read this announcement. We won't do your homework, but we will work with you to figure it out. Most importantly we want you to do the work so you understand it.

https://www.askmehelpdesk.com/financ...-b-u-font.html

I'll get you started, and if you'd like to post your answers we can check it for you and help you where need help.

First, start with the Major Classification (Asset, Liability, etc). You should be able to label most of these. Try it and ask about the accounts you aren't familiar with. You might start with the expenses first - they are pretty obvious.

Second, do the contra-accounts. You need to understand the terminology for all of the listed items. You can look these up, but I'll give you a hand. A contra-account is an account which offsets another account. One example in your list is the Allowance for Doubtful Accounts. It offsets Accounts Receivable. Please ask if that doesn't make sense. There are other contra-accounts.

Normal balance - Assets and expenses are typically debit. Liabilities, equity, and income are typically credit. Remember that contra-accounts offset, so a contra-asset will have a credit balance.

Why don't you try and do this? We will check it and see what you aren't understanding, and then we can explain that part to you. Thanks.

[aheadofthegame]

Thanks, I'll try :)
I'm afraid that most of it will be wrong though..

1. Accumulated Depletion
-> A, CA, DR, IS, P

2. Allowance for Doubtful Accounts
-> NA, X, NA, CR, BS, T

3. Amortization Expense
-> E, OEAE, DR, BS, P

4. Bad Debts Expense
-> E, OE, CR, IS, P

5. Cost of Merchandise sold
-> A, CA, DR, IS, P

6. Depletion Expense
-> E, OESE, CR, BS, P

7. Dividend Revenue
-> R, INV, DR, IS, P

8. Gain on Disposal of Fixed Assets
-> R, INV, DR, IS, P

9. Goodwill
-> I never heard of that one..

10. Interest Expense
-> E, OEAE, CR, IS

11. Interest Revenue
-> R, INV, DR, IS, P

12. Loss on Disposal of Fixed Assets
-> NA, NA, CR, IS, T

13. Merchandise Inventory
-> A, CA, DR, IS, P

14. Notes Receivable due in 2 years
-> L, LTL, CR, IS, T

15. Patents
-> am not familiar with this one either..

16. Petty Cash
-> NA, NA, DR, NA, T

17. Purchases
-> A, PPE, DR, BS, P

18. Purchases Discounts
-> A, PPE, CR, BS, P

19. Purchases Returns and Allowances
-> A, PPE, CR, BS, P

20. Rent Revenue
-> R, INV, DR, IS, P

21. Salaries Expense
-> E, OESE, CR, IS, P

22. Salaries Payable
-> L, CL, CR, IS, T

23. Sales
-> R, S, DR, IS, P

24. Sales Discounts
-> R, S, CR, IS, T

25. Sales Returns and Allowances
-> R, S, CR, IS, T

26. Sales Tax payable
-> NA, S, CR, IS, T

27. Transportation In
-> NA, NA, CR, NA, T

28. Delivery Expense
-> E, OE, CR, IS, T

29. Uncollectible Accounts Expense
-> E, OE, CR, IS, P

30. Utilities Expense
-> E, OE, CR, IS, T

[Just Looking]

Thanks for trying. I'll post in blue below your answer where I think a correction is needed. In some cases, I've asked you to try again - this is because I think you will be learning as you read through this and will be better able to answer the questions.

1. Accumulated Depletion
-> A, CA, DR, IS, P
This is a contra-asset and part of PPE. It is used where you have assets that can be depleted - such as in mines where the natural resources are diminishing as they are mined. The mine would normally have a debit balance and as it is used, the Accumulated Depletion account is credited. It is part of the BS - assets belong on the BS.
2. Allowance for Doubtful Accounts
-> NA, X, NA, CR, BS, T
This is another contra-asset account and part of current assets. Accounts Receivable will carry the total amount a company would receive if every customer paid their bill. However, that usually doesn't happen so an allowance is set up to record what the company estimates will not be collectible. It is an asset, a contra-account, a current asset (as is Accounts Receivable), and a permanent account. Balance sheet accounts are permanent whereas income statement accounts are temporary as they are closed at year end.
3. Amortization Expense
-> E, OEAE, DR, BS, P
This belongs on the Income Statement. A revenue or expense goes on the IS. An asset, liability, or equity account goes on the BS.
4. Bad Debts Expense
-> E, OE, CR, IS, P
Normal balance is a debit. Expenses are typically debits, as are assets. Liabilities, equity and revenue are credits. It is a temporary account as it will be closed at year end - IS accounts are closed into Retained Earnings at year end.
5. Cost of Merchandise sold
-> A, CA, DR, IS, P
Cost of Merchandise Sold is the cost of merchandise sold during the period, as opposed to the merchandise still remaining in Inventory. Sales less Cost of Merchandise Sold tells you the Gross Profit of the business. It's an expense, COMS (this was an option in sub-class), and is a temporary account.
6. Depletion Expense
-> E, OESE, CR, BS, P
As an expense, the normal balance is a debit. It relates to the Accumulated Depletion account from above. As the depletion occurs, the entry is to debit Depletion Expense and credit Accumulated Depletion. Also, as an expense it belongs on the IS and is temporary.
7. Dividend Revenue
-> R, INV, DR, IS, P
This is a revenue, but the sub-class is Other Income. The asset that produces the dividend is an investment, but the dividend itself is Other Income. As a revenue, it has a normal balance of credit and is a temporary account.
8. Gain on Disposal of Fixed Assets
-> R, INV, DR, IS, P
This is a revenue, but the sub-class is Other Income. FYI, income sub-classes apply to revenue that is earned as part of operations, whereas other income comes from things like investments, sales of assets, interest earned - i.e., not part of the company's normal operations. As a revenue item, the normal balance is cr and it is temporary.
9. Goodwill
-> i never heard of that one..
Why don't you google this (goodwill in accounting) or look it up in your text, and try to answer it. It will be more meaningful than if I give you the answer.
10. Interest Expense
-> E, OEAE, CR, IS
As an expense, the normal balance is dr and it is a temporary account.
11. Interest Revenue
-> R, INV, DR, IS, P
Similar to the discussion of Dividend Income - the sub-class is other income and as a revenue it is a temporary account.
12. Loss on Disposal of Fixed Assets
-> NA, NA, CR, IS, T
When fixed assets are sold, you look at their book value (asset less depreciation) to see if you sold it for more or less than the book value. If less, it is a loss on disposal - why don't you try and answer this again - you'll understand it better if you try.
13. Merchandise Inventory
-> A, CA, DR, IS, P
As an asset, it belongs on the BS.
14. Notes Receivable due in 2 years
-> L, LTL, CR, IS, T
A receivable is an asset, whereas a payable is a liability. With what you've read above, why don't you try and answer this again?
15. Patents
-> am not familiar with this one either..
Please Google patents in accounting or read your text and try again. If it is wrong I'll explain it to you, but I'm hoping with what you have learned that this is all starting to make sense. :)
16. Petty Cash
-> NA, NA, DR, NA, T
Petty Cash is the small amount of cash a company keeps on hand just to make small purchases so they don't have to go thru the hassle of writing a check, etc. It is similar to cash in its treatment. Want to try again?
17. Purchases
-> A, PPE, DR, BS, P
This is actually a difficult one as it can have different applications. I'm going with the simple answer here - it is the cost of merchandise bought for sale, and is therefore an Expense, COMS, IS, temporary.
18. Purchases Discounts
-> A, PPE, CR, BS, P
Can you rethink this based on #17?
19. Purchases Returns and Allowances
-> A, PPE, CR, BS, P
Can you rethink this based on #17?
20. Rent Revenue
-> R, INV, DR, IS, P
With what you have learned from above, why don't you try and redo this one?
21. Salaries Expense
-> E, OESE, CR, IS, P
As an expense, it is a debit and temp.
22. Salaries Payable
-> L, CL, CR, IS, T
Do you want to rethink this one with what you have read above?
23. Sales
-> R, S, DR, IS, P
As a revenue item, it should be credit and temp.
24. Sales Discounts
-> R, S, CR, IS, T
This is a contra-account to Sales. Balance is debit.
25. Sales Returns and Allowances
-> R, S, CR, IS, T
Same as 24.
26. Sales Tax payable
-> NA, S, CR, IS, T
You know when you make a purchase you pay sales tax. On the other side, the company collects the sales tax. They will report it on a monthly basis and pay the sales tax to the state at that time. In the meantime they have a payable. Can you rethink this and post the answers again?
27. Transportation In
-> NA, NA, CR, NA, T
This is a cost of your merchandise, also known as freight. Want to try again?
28. Delivery Expense
-> E, OE, CR, IS, T
Expenses are typically debits.
29. Uncollectible Accounts Expense
-> E, OE, CR, IS, P
With what you have learned, how would you change this?
30. Utilities Expense
-> E, OE, CR, IS, T
As an expense, it will have a debit balance.

[aheadofthegame]

Thank you so very much =)!
You really helped me so much!
I did it again, and hopefully now everything's correct..

1. Accumulated Depletion
-> A, X, PPE, CR, BS, P

2. Allowance for Doubtful Accounts
-> A, X, CA, CR, BS, P

3. Amortization Expense
-> E, OEAE, DR, IS, P

4. Bad Debts Expense
-> E, OE, DR, IS, T

5. Cost of Merchandise sold
-> E, COMS, DR, IS, T

6. Depletion Expense
-> E, OESE, DR, IS, T

7. Dividend Revenue
-> R, OI, CR, IS, T

8. Gain on disposal of fixed assets
-> R, OI, CR, IS, T

9. Goodwill
-> A, INT, DR, BS, P

10. Interest Expense
-> E, OEAE, DR, IS, T

11. Interest Revenue
-> R, OI, DR, IS, T

12. Loss on disposal of fixed assets
-> A, PPE, CR, BS, P

13. Merchandise Inventory
-> A, CA, DR, BS, P

14. Notes receivable due in 2 years
-> L, CL, CR, BS, P

15. Patents
-> A, INT, DR, BS, P

16. Petty Cash
-> A, CA, DR, BS, P

17. Purchases
-> E, COMS, DR, IS, T

18. Purchases Discounts
-> E, COMS, DR, IS, T

19. Purchases returns and allowances
-> E, COMS, DR, IS, T

20. Rent Revenue
-> R, OI, DR, IS, T

21. Salaries Expense
-> E, OESE, DR, IS, T

22. Salaries payable
-> L, CL, CR, BS, P

23. Sales
-> R, S, CR, IS, T

24. Sales Discounts
-> R, X, S, DR, IS, T

25. Sales Returns and Allowances
-> R, X, S, DR, IS, T

26. Sales tax payable
-> L, CL, CR, BS, P

27. Transportation In
-> E, OE, DR, IS, T

28. Delivery Expense
-> E, OE, DR, IS, T

29. Uncollectible Accounts expense
-> E, OE, DR, IS, T

30. Utilities expense
-> E, OE, DR, IS, T

Again, thank you so much :)!
You helped me a LOT more than my professor ;)

[Just Looking]

You are welcome. Much better this time. I've made a few comments below. The others are correct. Good luck in your studies.

3. Amortization Expense
-> E, OEAE, DR, IS, P
Expenses on IS will always be temporary - closed at end of year.

11. Interest Revenue
-> R, OI, DR, IS, T
Revenues will be a credit.

12. Loss on disposal of fixed assets
-> A, PPE, CR, BS, P
This is the income/expense side of the equation when assets are sold. It's an expense, classed as Other Expense, dr, IS, temp. The entry to record a sale is a debit to Cash, a credit to Fixed Assets, a debit to Accu. Depn. and the balance is either a gain (credit) or loss (debit) on sale.

14. Notes receivable due in 2 years
-> L, CL, CR, BS, P
A receivable is an asset, this would normally be under Other Asset as it is due in over a year, dr balance

18. Purchases Discounts
-> E, COMS, DR, IS, T
Contra-account to Purchases as discounts lower the amount of cost. Cr balance.

19. Purchases returns and allowances
-> E, COMS, DR, IS, T
Same as 18.

[aheadofthegame]

You are awesome!! :)

3. Amortization Expense
-> E, OEAE, DR, IS, T

11. Interest Revenue
-> R, OI, CR, IS, T

12. Loss on disposal of fixed assets
-> E, OE, DR, IS, T

14. Notes receivable in 2 years
-> A, CA, DR, BS, P

18. Purchases Discounts
-> E, X, COMS, CR, IS, T

19. Purchases returns and allowances
-> E, X, COMS, CR, IS, T

like that?

[Just Looking]

The only one I question is #14. You have it as a Current Asset, which means it should be collectible in one year or less. I would rather see it as Other Asset... but you don't have that listed as a choice. You might ask a classmate or your professor about that, but everything else looks good. :)

[aheadofthegame]

Thank you again. :)
I will!