Which of the following entries records the depreciation on equipment for the fiscal year-end adjustment? Multiple Choice Debit Depreciation Expense; credit Accumulated Depreciation Debit Accumulated Depreciation; credit Depreciation Expense Debit Depreciation Expense; credit Equipment Debit Depreciation; credit Depreciation Expense

Question

Reuben Bullock

Business

14 July, 01:04

Which of the following entries records the depreciation on equipment for the fiscal year-end adjustment? Multiple Choice Debit Depreciation Expense; credit Accumulated Depreciation Debit Accumulated Depreciation; credit Depreciation Expense Debit Depreciation Expense; credit Equipment Debit Depreciation; credit Depreciation Expense

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Answers (1)

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Lydia Elliott · Answer 1

Debit Depreciation Expense; Credit Accumulated Depreciation

Explanation:

When recording adjustment of the depreciation on equipment,

Recognise an expense - depreciation and de-recognise the asset through the Accumulated depreciation expense account to reflect outflow of economic benefits through usage of asset.