A Debit Balance in the Retained Earnings Account Is Referred

question 86

True/False

A debit balance in the Retained Earnings account is referred to as a deficit.

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Definitions:

Depreciation

The systematic reduction of the recorded cost of a fixed asset to reflect its loss in value over time, often due to wear and tear or obsolescence.

Net Income

The total earnings of a company after subtracting all expenses, taxes, and costs, reflecting the actual profit made.