The classified Balance Sheet will subsection the assets section as follows

In a classified balance sheet, the assets section is typically divided into several subsections to provide a clear and organized view of a company's financial position. Here are the common subsections:

1. Current Assets: These are assets that are expected to be converted into cash or used up within one year or the operating cycle, whichever is longer. Examples include:

   • Cash and cash equivalents
   • Accounts receivable
   • Inventory
   • Prepaid expenses

2. Non-current Assets: These are assets that are not expected to be converted into cash or used up within one year. They are further divided into:

   • Property, Plant, and Equipment (PP&E): Tangible long-term assets used in the operations of the business, such as buildings, machinery, and vehicles.
   • Intangible Assets: Non-physical assets that have value, such as patents, trademarks, and goodwill.
   • Long-term Investments: Investments in stocks, bonds, or other securities that the company intends to hold for more than one year.
   • Other Non-current Assets: Any other long-term assets not classified elsewhere, such as deferred tax assets.

These subsections help stakeholders understand the liquidity and long-term investment strategy of the company.