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For the balance sheet, please categorize the following as short-term assets, long-term assets,
short-term liabilities, long-term liabilities, or owner’s equity:
Cash, accruals, property, plant and equipment, inventory, accounts receivables, paid in capital,
retained earnings, notes payable, mortgage, and accounts payable.
Solution
short term assets=cash,inventory,account receivables, accrued revenues
long term assets= property,plant and equipment
short term liabilities= accounts payable,accrued expenses, notes payable (if amount due within
one year of the balance sheet date)
long term liabilities= mortgage, notes payable ( if amount not due within one year of the balance
sheet date)
owners equity = paid in capital, retained earning

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