The Harris Company Purchased Equipment for $9,000 on December 1

Multiple Choice

The Harris Company purchased equipment for $9,000 on December 1. It is estimated that annual depreciation on the computer will be $1,800. If financial statements are to be prepared on December 31, the company should make the following adjusting entry:

A) debit Depreciation Expense, $1,800; credit Accumulated Depreciation, $1,800.
B) debit Depreciation Expense, $150; credit Accumulated Depreciation, $150.
C) debit Depreciation Expense, $7,200; credit Accumulated Depreciation, $7,200.
D) debit Equipment, $9,000; credit Accumulated Depreciation, $9,000.