Chapter 2, Problem 2QS

To determine

Concept Introduction:

Asset:

An asset is a resource embodying an economic benefit that is owned and controlled by a business entity. The benefits derived from an asset are generally spread over the useful life of the asset. Assets can be tangible or intangible. In accounting, an asset is a real account and always shows debit balance.

Liability:

Liability is the obligation arising out of carrying business transactions that needs to be settled within a specified period of time. It is the sacrifice of economic benefits in future as the result of an obligation. Liabilities are classified as long term and short term. Liabilities represent real account and always show credit balance.

Equity:

Equity represents the ownership value of the business. In other words, the difference between assets and liabilities of a business is called equity. It is the net asset of an entity.

To determine: The assets, liabilities and equity accounts from the list of items