Burger Stand has a beginning balance in the Accumulated Depreciation -Equipment
account of $200,000. The depreciation expense for the year was $ 30,000. At the
end of the year, the balance in the Accumulated Depreciation-Equipment account
the debit to Accumulated Depreciation for the year.
What would cause Tom’s Roadside Burger Stand to debit Accumulated
7.5-1 Accumulated depletion reduces equity, as
this account is a contra-revenue account.
7.5-2 Natural resources are reported in the
Intangible Assets section of the income statement.