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A New Accountant Working for Malawi Limited Records $800 Depreciation

Question 3

Multiple Choice

A new accountant working for Malawi Limited records $800 depreciation expense on store equipment at year end as follows: A new accountant working for Malawi Limited records $800 depreciation expense on store equipment at year end as follows: The effect of this entry is to A) adjust the accounts correctly at year end. B) understate expenses on the income statement. C) overstate the carrying amount of the depreciable assets at year end. D) understate the carrying amount of the depreciable assets at year end. The effect of this entry is to


A) adjust the accounts correctly at year end.
B) understate expenses on the income statement.
C) overstate the carrying amount of the depreciable assets at year end.
D) understate the carrying amount of the depreciable assets at year end.

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