At the End of the Current Accounting Period, Ringgold Company

Multiple Choice

At the end of the current accounting period, Ringgold Company recorded depreciation of $15,000 on its equipment. The effect of this entry on the company's balance sheet is to decrease:

A) assets and increase liabilities.
B) stockholders' equity and decrease assets.
C) assets and increase stockholders' equity.
D) stockholders' equity and increase liabilities.