Question

The depreciation of equipment will require an adjustment that results in A. total assets increasing and total expenses increasing. B. total assets increasing and total expenses decreasing. C. total assets and expenses decreasing. D. total assets decreasing and total expenses increasing.

Answer 1

The answer is D. Total assets decreasing since they're depreciated. But total expenses will increase for sure in order to replace the depreciated equipment.

Answer 2

The answer to your questions is letter D. Total assets decreasing and total expenses increasing.