If depreciation expense is not recorded for the current accounting period,total assets will be understated.

Name: If depreciation expense is not recorded for the current accounting period,total assets will be understated.
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Quizplus · Accepted Answer

If depreciation expense is not recorded, it means the expense that should reduce the value of the asset is not accounted for, thus keeping the asset's book value higher than it should be. Therefore, total assets will be overstated, not understated.

If Depreciation Expense Is Not Recorded for the Current Accounting