How many of the following items are found on the income statement, rather than the balance sheet?
• Sales
• Notes payable (6 months)
• Bonds payable, maturity 2001
• Common stock
• Depreciation expense
• Inventories
• Capital in excess of par value
• Net income (earnings after taxes)
• Income tax payable

Question

Quizplus · Accepted Answer

Sales, Depreciation expense, and Net income are found on the income statement. Notes payable and Income tax payable are found on the balance sheet. Common stock, Capital in excess of par value, and Bonds payable are found in the equity section of the balance sheet. Inventories are found in the assets section of the balance sheet. Therefore, 3 of these items are found on the income statement.

How Many of the Following Items Are Found on the Income