PRC-1 · Chapter 6 · Question 71 of 100
What is the correct journal entry to record the depreciation charge for the year?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Debit Depreciation Expense, Credit Accumulated Depreciation
Explanation
Depreciation is an income statement expense (Debit) and accumulates as a contra-asset deduction against the gross PPE balance (Credit Accumulated Depreciation).
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