Which of the following statements is not correct?   Multiple Choice   The cost less the salvage value equals the depreciable base of a long-term asset.   Uncollectible Accounts Expense is a contra asset account.   If a firm records prepaid expense items in an expense account when they pay for them, their adjustment at the end of the period to record the unexpired portion would include a debit to an asset account and a credit to an expense account.   Each adjustment for an accrued expense includes a credit to a liability account.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Which of the following statements is not correct?

 

Multiple Choice

  •  
    The cost less the salvage value equals the depreciable base of a long-term asset.
  •  
    Uncollectible Accounts Expense is a contra asset account.
  •  
    If a firm records prepaid expense items in an expense account when they pay for them, their adjustment at the end of the period to record the unexpired portion would include a debit to an asset account and a credit to an expense account.
  •  
    Each adjustment for an accrued expense includes a credit to a liability account.
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