The Adjusting Entries to Record Depreciation or Amortization Expense or to Write

question 91

Multiple Choice

The adjusting entries to record depreciation or amortization expense or to write down assets that have become impaired:

• A)Reduce both net income and cash balances.
• B)Reduce net income,but have no direct effect on cash balances.
• C)Decrease cash balances,but have no direct effect upon net income.
• D)Affect neither net income nor cash balances.

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Definitions:

Littoral Zone

The part of a sea, lake, or river that is close to the shore, where sunlight penetrates all the way to the sediment allowing aquatic plants to grow.

Limnetic Zone

The open and well-lit area of a freestanding body of freshwater, such as a lake or pond, away from the shore.

Benthic Zone

The environmental zone found at the bottom of water bodies like oceans or lakes, encompassing the surface of the sediment and several layers beneath it.

Organic Matter

Material derived from living organisms, including plants, animals, and their by-products, essential for soil fertility and ecosystem function.