If a Business Has Several Types of Long-Term Assets Such

question 125

Multiple Choice

If a business has several types of long-term assets such as equipment, buildings, and trucks,

• A)there should be only one accumulated depreciation account.
• B)there should be a separate accumulated depreciation account for each type of asset.
• C)all the long-term asset accounts will be recorded in one general ledger account.
• D)there won't be a need for an accumulated depreciation account.

Learn the method for adding and formatting date and numerical data in reports.

Understand the process for sorting and grouping data within reports.

Become familiar with the concept and configuration of calculated controls.

Grasp the purpose and application of option groups and linking form properties.

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Definitions:

Perpetual Inventory System

An accounting method that records inventory purchases or sales in real-time through the use of computerized point-of-sale systems and enterprise asset management software.

Cost of Merchandise Sold

The total cost incurred by a company to sell goods during a specific period, including purchase and direct labor costs.

Merchandising Business

A type of business that purchases goods wholesale and resells them retail; primarily involved in selling merchandise to consumers.

Revenue Account

A revenue account is an account that records the income earned from the sale of goods or the provision of services before any expenses are deducted.