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Question
Accumulated depreciation is an account which:
a. adjusts plant and equipment so that its balance sheet value approximates its replacement cost.
b. is a long-term liability.
c. is equal to total depreciation expense recorded and decreases total plant and equipment.
d. reduces intangible assets.
Answer
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Related questions
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a. $60,000 and $40,000
b. $68,000 and $32,000
c. $40,000 and $60,000
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Q:
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b. $10,000 and $8,000.
c. $12,000 and $9,500.
d. $12,500 and $12,500.
Solution: $50,000 x 2/10 and ($50,000 - $10,000) x 2/10
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