Answer:
Debit Credit
Depreciation $2,000
Accumulated depreciation $2,000
Explanation:
The formula for calculating the depreciation of the office equipment is given below:
Depreciation=(cost of equipment-salvage value)/useful life
In this question,
cost of equipment=$9,000
Salvage value=$3,000
useful life=3 years
Depreciation=(9000-3000)/3=$2,000
The adjusting entry which shall be recorded in respect of the above calculated depreciation is given below:
Debit Credit
Depreciation $2,000
Accumulated depreciation $2,000
