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Chart of accounts

The following accounts appeared in recent financial statements of Delta Air Lines (DAL). Identify each account as either a balance sheet account or an income statement account. For each balance sheet account, identify it as an asset, a liability, or stockholders' equity. For each income statement account, identify it as a revenue or an expense.

Item Financial Statement Type of Account
Accounts Payable

Advanced Payments for Equipment

Air Traffic Liability

Aircraft Fuel (Expense)

Aircraft Maintenance (Expense)

Aircraft Rent (Expense)

Cargo Revenue

Cash

Contract Carrier Arrangements (Expense)

Flight Equipment

Frequent Flyer (Obligations)

Fuel Inventory

Landing Fees (Expense)

Parts and Supplies Inventories

Passenger Commissions (Expense)

Passenger Revenue

Prepaid Expenses

Taxes Payable

Answer 1

Sure, here’s the classification of each account from Delta Air Lines (DAL) as either a balance sheet account or an income statement account, along with their specific types as applicable:

| Item | Financial Statement | Type of Account |
|------------------------------------|-------------------------|-------------------------------|
| Accounts Payable | Balance Sheet | Liability |
| Advanced Payments for Equipment | Balance Sheet | Asset |
| Air Traffic Liability | Balance Sheet | Liability |
| Aircraft Fuel (Expense) | Income Statement | Expense |
| Aircraft Maintenance (Expense) | Income Statement | Expense |
| Aircraft Rent (Expense) | Income Statement | Expense |
| Cargo Revenue | Income Statement | Revenue |
| Cash | Balance Sheet | Asset |
| Contract Carrier Arrangements (Expense)| Income Statement | Expense |
| Flight Equipment | Balance Sheet | Asset |
| Frequent Flyer (Obligations) | Balance Sheet | Liability |
| Fuel Inventory | Balance Sheet | Asset |
| Landing Fees (Expense) | Income Statement | Expense |
| Parts and Supplies Inventories | Balance Sheet | Asset |
| Passenger Commissions (Expense) | Income Statement | Expense |
| Passenger Revenue | Income Statement | Revenue |
| Prepaid Expenses | Balance Sheet | Asset |
| Taxes Payable | Balance Sheet | Liability |

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