ACCT 230

_____________ expense should be recorded to recognize the the cost of using long-lived assets, such as equipment, during the accounting period.

Depreciation

When should supplies be recorded as an expense?

In the period the supplies are used, regardless of when they were purchased

After the adjusting entries have been completed, the adjusted balance in the Prepaid Rent account represents the ______.

amount of the prepayment that remains towards future rental periods

The adjusting entry for supplies used during the period will result in ______ to the Supplies Expense account.

an increase

The adjusting entry to record the supplies used during the period will result in a(n) ______.

decrease to Supplies and an increase to Supplies Expense

The adjusting entry for equipment depreciation includes a debit to _____ and a credit to _____.

depreciation expense; accumulated depreciation

The adjusting entry for a prepaid expense includes a debit to a(n) ______ account and a credit to a(n) ____ account.

expense; asset

______________ is an allocation of the cost of buildings, vehicles, and equipment to expense over time as they are used.

Depreciation

After the adjusting entries have been completed, the ending balance in the Supplies account represents the cost of supplies ______.

remaining at the end of the accounting period

The adjusting entry for supplies used during the period will result in a debit to the ______ account and a credit to the ______ account.

supplies expense; supplies