Suriin ang IDNStudy.com para sa malinaw at detalyadong mga sagot. Magtanong ng anumang bagay at makatanggap ng mga maalam na sagot mula sa aming komunidad ng mga propesyonal.

What is the effect on a company's balance sheet equation when depreciation expense is recognized?

Sagot :

Answer:

On the balance sheet, depreciation expense decreases the value of assets and accumulated depreciation, the contra account for depreciation expense, holds this value so the effect of depreciation expense on the balance sheet is negative.