The following items are taken from the financial statements of the Freight Service for the year ending December 31 2016:

\begin{array}{ll}\text { Accounts payable } & \$ 19,000 \\\text { Accounts receivable } & 13,000 \\\text { Accumulated depreciation - equipment } & 26,000 \\\text { Advertising expense } & 21,200 \\\text { Cash } & 15,000\\\text { Owner's capital }(1 / 1 / 16) & 104,000 \\\text { Owner's drawings } & 11,000 \\\text { Depreciation expense } & 12,000 \\\text { Insurance expense } & 3,800 \\\text { Note payable, due } 6 / 30 / 17 & 72,000\\\text { Prepaid insurance (12-month policy) } & 7,200 \\\text { Rent expense } & 16,000 \\\text { Salaries and wages expense } & 32,000 \\\text { Service revenue } & 135,000 \\\text { Supplies } & 5,000 \\\text { Supplies expense } & 6,000 \\\text { Equipment } & 210,000\end{array}

The current assets should be listed on Freight Service's balance sheet in the following order:
A) cash accounts receivable prepaid insurance equipment.
B) cash prepaid insurance supplies accounts receivable.
C) cash accounts receivable prepaid insurance supplies.
D) equipment supplies prepaid insurance accounts receivable cash.

A Post-Closing Trial Balance Is Prepared

Multiple Choice

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