When an asset such as prepaid rent begins to expire or be used up, it becomes a(an)

Actual cost of an asset at time of purchase

Estimated value of an asset after all the allowable depreciation has been taken

States that expenses will be matched to revenues in the period in which they are incurred

Contra-asset account that summarizes or accumulates the amount of depreciation that has been taken on an asset.

Cost of Equipment - Residual Value / Estimated Years of Usefulness =

Accumulated Depreciation is

Depreciation Expense goes on the

Accumulated depreciation increases with a

The original cost of equipment is not reduced; it stays the same until the equipment is sold or removed.

Each month the amount in the Depreciation Expense account grows larger while the cost of the equipment remains the same.

Cost of equipment less accumulated depreciation

Salaries that are earned by employees but unpaid and unrecorded during the period and will not come due for payment until the next accounting period are

The income statement section of the worksheet should only list

Salaries Payable is

Net income is placed in the credit column of the income statement section of the worksheet when figures result in net income

Which of the following is NOT carried over from the adjusted trial balance to the balance sheet section of the worksheet

When preparing the Income Statement every figure on the formal statement is on the worksheet

Debit and Credit columns should appear on the formal Income Statement.

The inside column on financial statements are used for totaling

Withdrawals do not go on the income statement; they go on the statement of owner's equity.