Asked by
Rahul Patel
on Dec 17, 2024Verified
An accumulated depreciation account
A) is a contra liability account.
B) has a normal debit balance.
C) is offset against total assets on the statement of financial position.
D) has a normal credit balance.
Accumulated Depreciation
The total amount of depreciation expense that has been recorded for an asset, reducing its carrying value on the balance sheet over time.
Contra Liability
A liability account that decreases the value of the liability to which it is related, essentially serving as a negative liability.
- Compute the depreciation and comprehend its influence on financial statements.
Verified Answer
SK
Learning Objectives
- Compute the depreciation and comprehend its influence on financial statements.