A Set of Records for Each Piece of Equipment That

question 19

Multiple Choice

A set of records for each piece of equipment that includes descriptive information, date of acquisition, original cost, current year depreciation, and accumulated depreciation is the:

• A)acquisitions journal.
• B)depreciation schedule.
• C)fixed asset master file.
• D)file of purchase requisitions.

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Definitions:

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset over its useful life.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial condition.

Sales

The transactions involving the exchange of goods or services for money, contributing to a company's revenue.

Functional Currency

The currency of the primary economic environment in which an entity operates, usually the currency in which it generates and spends cash.