Each of the following items is shown in the financial statements of Exxon Mobil Coperation:

1. Accounts payable

2. Cash equivalents

3. Crude oil inventory

4. Equipment

5. Exploration expenses

6. Income taxes payable

7. Investments

8. Long-term debt

9. Maketable secrities

10. Notes and loans payable

11. Notes receivable

12. Operating expenses

13. Prepaid taxes

14. Sales

15. Selling expenses

a. Identify the financial statment (balance sheet or income statment) in which each item would appear.

b. Can an item apperar on more than one financial statment?

c. Is the accounting equation relevant for Exxon Mobil Corporation?

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Dryomys Dryomys · Answer 1 · 2019-09-17T08:06:38+02:00

Answer:

(a) The list is as follows:

1. Accounts payable - Balance sheet

2. Cash equivalents - Balance sheet

3. Crude oil inventory - Balance sheet

4. Equipment - Balance sheet

5. Exploration expenses - Income statement

6. Income taxes payable - Balance sheet

7. Investments - Balance sheet

8. Long-term debt - Balance sheet

9. Marketable securities -Balance sheet

10. Notes and loans payable - Balance sheet

11. Notes receivable - Balance sheet

12. Operating expenses - Income statement

13. Prepaid taxes - Balance sheet

14. Sales - Income statement

15. Selling expenses - Income statement

(b) No item can appear on more than one financial statement.

(c) Yes, accounting equation relevant for Exxon Mobil Corporation.