Problem 1: The nature of the assets determines which accounting standards will apply for their

accounting treatment. Classify the following accounts found in the ledger of Glory Corporation as (A)
financial assets or (B) non-financial assets.

1. Cash A
2. Cash Equivalents A
3. Accounts Receivable A
4. Inventories A
5. Debt Investments at Fair Value A
6. Debt Investments at Amortized Cost A
7. Unused supplies B
8. Property, Plant and Equipment B
9. Franchise A
10 Equity Investments at Fair Value A
.
11 Investment in Associates A
.
12 Investment Property A
.
13 Investment in Subsidiary Company A
.
14 Advances to Officers and Employees A
.
15 Deposits on Utility Contracts A
.
16 Cash Surrender Value of Life Insurance Policy A
.
17 Patents B
.
18 Goodwill B
.
19 Claims for Income Tax Refund B
.
20 Deferred Tax Asset B
.