Accumulated Depreciation appears on the a. income statement as an operating expense b. balance sheet in the current assets section c. balance sheet in the property, plant, and equipment section d. balance sheet in the long-term liabilities section

Question

Penelope Larson

Business

6 April, 13:17

Accumulated Depreciation appears on the a. income statement as an operating expense b. balance sheet in the current assets section c. balance sheet in the property, plant, and equipment section d. balance sheet in the long-term liabilities section

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Answers (1)

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Ibrahim Hayes · Answer 1

The answer is C. c. balance sheet in the property, plant, and equipment section

Explanation:

Depreciation is the reduction in the value of the asset. It is measured as the cost of the asset minus any residual or salvage value all divided by useful life of assets.

The depreciation expense is for the year is recognized in income statement BUT the accumulated depreciation which is the sum of total depreciation of a long term asset like property, plant and equipment is recognized in the balance sheet and will reduce the historical cost of property, plant and equipment.

It cant be long term liabilities