71) Rent expired at the end of an accounting period requires an adjustment.
72) The original cost of equipment is not reduced by the amount of Depreciation Expense.
73) The spreading or allocating of the cost of a long-term asset is called discounting.
74) Accumulated Depreciation is a contra-asset account.
75) The worksheet contains a trial balance.
76) Depreciation Expense is debited when recording the depreciation for the period.
77) The use of straight-line depreciation results in equal amounts of depreciation being taken over a period of time.
78) Prepaid Rent Expense is a contra-asset with a normal balance of a debit.
79) To compute net income or net loss, the debit and credit columns of the income statement section of the worksheet are totaled, and the difference is placed on the smaller side.
80) Revenue is recorded when earned, and expenses are recorded only when incurred.