Depreciation: Straight Line Video Lessons

Concept

# Problem: Equipment worth $100,000 with a useful life of 10 years is purchased on 1/1/13. Using straightline depreciation, what journal entry needs to be recorded at year-end 12/31/13 if no adjusting entries have been recorded throughout the year? a. Debit depreciation expense and credit accumulated depreciation in the amount of$10,000 for each account. b. Debit depreciation expense and credit accumulated depreciation in the amount of $833 for each account. c. Debit accumulated depreciation and credit accumulated depreciation in the amount of$833 for each account. d. Debit depreciation expense and credit accumulated depreciation in the amount of $100,000 for each account. ###### FREE Expert Solution ###### Problem Details Equipment worth$100,000 with a useful life of 10 years is purchased on 1/1/13. Using straightline depreciation, what journal entry needs to be recorded at year-end 12/31/13 if no adjusting entries have been recorded throughout the year?

a. Debit depreciation expense and credit accumulated depreciation in the amount of $10,000 for each account. b. Debit depreciation expense and credit accumulated depreciation in the amount of$833 for each account.

c. Debit accumulated depreciation and credit accumulated depreciation in the amount of $833 for each account. d. Debit depreciation expense and credit accumulated depreciation in the amount of$100,000 for each account.