Which account is debited and credited in the adjusting entry to allocate the cost of equipment?   A) Debit Accumulated Depreciation - Equipment; Credit Depreciation Expense - Equipment B) Debit Accumulated Depreciation - Equipment; Credit Equipment C) Debit Depreciation Expense -Equipment; Credit Equipment D)Debit Depreciation Expense - Equipment; Credit Accumulated Deprecation - Equipment

Question: What is the purpose of depreciation in accounting? a. Increase asset value b. Allocate the cost of an asset over its useful life c. Reduce liabilities d. Determine net income

Exercises E9.1 (LO 1), AP Writing The following expenditures relating to plant assets were made by Glenn Company during the first 2 months of 2022. Determine cost of plant acquisitions. 1. Paid $7,000 of accrued taxes at the time the plant site was acquired. 2. Paid $200 insurance to cover a possible accident loss on new factory machinery while the machinery was in transit. 3. Paid $850 sales taxes on a new delivery truck. 4. Paid $21,000 for parking lots and driveways on the new plant site. 5. Paid $250 to have the company name and slogan painted on the new delivery truck. 6. Paid $8,000 for installation of new factory machinery. 7. Paid $900 for a 2-year accident insurance policy on the new delivery truck. 8. Paid $75 motor vehicle license fee on the new truck.

On the balance sheet, accumulated depreciation is: 
 Group of answer choices   subtracted from property and equipment. added to total liabilities. added to property and equipment. subtracted from total liabilities.