Which of the Following Applies to Both the Depreciation Expense

question 41

Multiple Choice

Which of the following applies to both the depreciation expense account and the accumulated depreciation account at the end of the first year of operations?

• A)They are closed.
• B)They appear in a trial balance prepared prior to the adjusting and closing entries.
• C)They are not closed at the end of the accounting period.
• D)They appear in a trial balance prepared after the adjusting entries but before the closing entries.

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Definitions:

Employer

An entity or individual that hires employees or workers.

Pension Expense

The cost recognized by an employer for maintaining a pension plan for its employees over a period.

Actual Return

The real gain or loss achieved on an investment over a specific period, including interest, dividends, and capital gains.

Expected Return

The anticipated amount of profit or loss one expects from an investment over a specified period, considering all potential outcomes.