ACCOUNT CLASSIFICATION AND PRESENTATION

Account Title
Accounts Payable Accounts Receivable Accumulated DepreciationBuildings Advertising Expense Allowance for Doubtful Accounts Amortization Expense Bad Debts Expense Bonds Payable Buildings Cash Common Stock Copyright Cost of Goods Sold Depreciation Expense Discount on Bonds Payable Dividends Dividends Payable Equipment Freight-out Gain on Disposal of Plant Assets Goodwill Income Summary Income Tax Expense Income Taxes Payable Insurance Expense Interest Expense Interest Payable Interest Receivable Interest Revenue Inventory

Classification A
Current Liability Current Asset Plant AssetContra Operating Expense Current AssetContra Operating Expense

Financial Statement
Balance Sheet Balance Sheet Balance Sheet Balance Sheet Income Statement Balance Sheet Income Statement Income Statement Balance Sheet Balance Sheet

Normal Balance
Credit Debit Credit Credit Debit Credit Debit Debit Credit Debit Debit Credit Debit Debit Debit Debit Debit Credit

Account Title
Land Loss on Disposal of Plant Assets Maintenance and Repairs Expense Mortgage Payable Notes Payable

Classification L
Plant Asset Other Expense

Financial Statement
Balance Sheet Income Statement

Normal Balance
Debit Debit Debit Credit Credit

M
Operating Expense Long-Term Liability Income Statement Balance Sheet Balance Sheet

Accumulated DepreciationEquipment Plant AssetContra

N
Current Liability/ Long-Term Liability

B
Operating Expense Long-Term Liability Plant Assets

O
Owners Capital Owners Drawings Owners Equity Temporary account closed to Owners Capital Owners Equity and Balance Sheet Owners Equity Credit Debit

C
Current Asset Stockholder's Equity Intangible Asset Cost of Goods Sold Balance Sheet Balance Sheet Balance Sheet Income Statement Income Statement Balance Sheet Retained Earnings Statement Balance Sheet Balance Sheet Patent Paid-in Capital in Excess of Par Common Stock Paid-in Capital in Excess of Par Preferred Stock Preferred Stock Premium on Bonds Payable Prepaid Insurance Prepaid Rent Rent Expense Debit Debit Credit Debit (1) Debit Credit Debit Debit Credit Debit Credit Debit Unearned Service Revenue Utilities Expense Treasury Stock Retained Earnings

P
Intangible Asset Stockholders Equity Stockholders Equity Stockholders Equity Long-Term LiabilityContra Current Asset Current Asset Balance Sheet Balance Sheet Balance Sheet Balance Sheet Balance Sheet Balance Sheet Balance Sheet Debit Credit Credit Credit Credit Debit Debit Debit Credit

D
Operating Expense Long-Term LiabilityContra Temporary account closed to Retained Earnings Current Liability

R
Operating Expense Stockholders Equity Income Statement Balance Sheet and Retained Earnings Statement Income Statement Balance Sheet Income Statement Income Statement Income Statement Income Statement Income Statement Balance Sheet Balance Sheet Income Statement Balance Sheet Balance Sheet Income Statement

E
Plant Asset

F
Operating Expense Income Statement Income Statement Balance Sheet Not Applicable Income Statement Balance Sheet Income Statement Income Statement Balance Sheet Balance Sheet Income Statement Balance Sheet (2)

S
Salaries and Wages Expense Salaries and Wages Payable Sales Discounts Sales Returns and Allowances Sales Revenue Selling Expenses Service Revenue Short-Term Investments Supplies Supplies Expense Operating Expense Current Liability RevenueContra RevenueContra Revenue Operating Expense Revenue Current Asset Current Asset Operating Expense Debit Credit Debit Debit Credit Debit Credit Debit Debit Debit Debit Credit Debit

G
Other Income Intangible Asset

I
Temporary account closed to Retained Earnings Income Tax Expense Current Liability Operating Expense Other Expense Current Liability Current Asset Other Income Current Asset

T
Stockholders Equity

U
Current Liability Operating Expense

(1) The normal balance for Income Summary will be credit when there is a net income, debit when there is a net loss. The Income Summary account does not appear on any financial statement. (2) If a periodic system is used, Inventory also appears on the income statement in the calculation of cost of goods sold.

ISBN: 9780470534793 Author: Jerry J. Weygandt Title: Accounting Principles

Front endsheets Color: 4 Pages: FEP1, FEP2

The following is a sample chart of accounts. It does not represent a comprehensive chart of all the accounts used in this textbook but rather those accounts that are commonly used. This sample chart of accounts is for a company that generates both service revenue as well as sales revenue. It uses the perpetual approach to inventory. If a periodic system was used, the following temporary accounts would be needed to record inventory purchases: Purchases; Freight-in; Purchase Returns and Allowances; and Purchase Discounts.

CHART OF ACCOUNTS
Owners and Stockholders Equity
Owners Capital Owners Drawings Common Stock Paid-in Capital in Excess of Par Common Stock Preferred Stock Paid-in Capital in Excess of Par Preferred Stock Treasury Stock Insurance Expense Retained Earnings Land Equipment Accumulated Depreciation Equipment Buildings Accumulated Depreciation Buildings Copyrights Utilities Expense Goodwill Patents Bonds Payable Dividends Discount on Bonds Payable Premium on Bonds Payable Mortgage Payable Income Summary Loss on Disposal of Plant Assets Maintenance and Repairs Expense Rent Expense Salaries and Wages Expense Supplies Expense Interest Expense Gain on Disposal of Plant Assets Rent Revenue Income Tax Expense

Assets
Cash Accounts Receivable Allowance for Doubtful Accounts Interest Receivable Inventory

Liabilities
Notes Payable Accounts Payable Unearned Service Revenue Salaries and Wages Payable Unearned Rent Revenue Interest Payable

Revenues
Service Revenue Sales Revenue Sales Discounts Sales Returns and Allowances Interest Revenue

Expenses
Advertising Expense Amortization Expense Bad Debts Expense Cost of Goods Sold Depreciation Expense Freight-out

Supplies Dividends Payable Prepaid Insurance Prepaid Rent Income Taxes Payable