In the financial statements prepared at the end of the accounting period the item Accumulated Depreciation appears:

Question

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Accumulated Depreciation is reported on the balance sheet as a deduction from the related asset because it represents the amount of the asset's cost that has been allocated to expense over its useful life. This reduces the reported value of the asset to reflect its estimated remaining useful life. It is not reported as an expense on the income statement because depreciation expense has already been recognized during the period.

In the Financial Statements Prepared at the End of the Accounting