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Commerce · Q173

Accounting

Graduate and Post Graduate · Commerce · question 173

Q173

How trial balance shows the accumulated depreciation?

A.
as a debit item
B.
as a credit item
Answer
C.
It doesn't show
D.
None of the above

Answer: Option B

Solution

Answer: Option B
Solution:
Trial balance shows the accumulated depreciation as a credit item. Accumulated depreciation has a credit balance, because it aggregates the amount of depreciation expense charged against a fixed asset.