Question

Cash $10,100 $4,020 Accounts receivable 20,580 12,830 Short-term investments 22,020 29,750 Inventory 42,390 34,710 Prepaid rent 3,020 12,030 Prepaid insurance 2,100 89 Supplies 1,000 74 Land 125,640 176,140

Answer 1

Answer: All accounts are assets and the correct way to order them is as follows:

Assets                                         Year 1       Year 2

Cash                                            $10,100.   $4,020

Short-term investments             $22,020  $29,750

Accounts receivable                  $20,580  $12,830

Inventory                                     $42,390  $34,710

Supplies                                       $1,000     $74

Current Assets                            $96090  $81384

Land                                            $125,640  $176,140

Prepaid rent                                $3,020    $12,030

Prepaid insurance                       $ 2,100    $89

Non current assets                    $130760  $188259

Total Assets                              $226850  $269643