To which balance sheet grouping does the item 'accumulated depreciation on equipment' belong?
A) Current asset
B) Noncurrent asset
C) Current liability
D) Noncurrent liability

Question

Quizplus · Accepted Answer

Accumulated depreciation on equipment is a contra-asset account that represents the total amount of depreciation expense that has been recorded for a company's equipment. As it is not a current asset or liability, it belongs to the noncurrent asset section of the balance sheet.

To Which Balance Sheet Grouping Does the Item 'Accumulated Depreciation