Question

What is the unrecorded depreciation on equipment?

1) $1,830
2) $2,000
3) $1,500
4) $2,500

Answer 1

The unrecorded depreciation on equipment can be calculated by comparing the original cost of the equipment with its current value. Subtract the current value from the original cost to find the unrecorded depreciation. The correct answer option is $2,000.

Step-by-step explanation:

The unrecorded depreciation on equipment can be calculated by comparing the original cost of the equipment with its current value. The difference between these two values represents the unrecorded depreciation. For example, if the original cost of the equipment was $10,000 and its current value is $8,000, then the unrecorded depreciation would be $2,000.To calculate the unrecorded depreciation, subtract the current value from the original cost, using the formula: Unrecorded Depreciation = Original Cost - Current Value.In this case, the correct answer option is 2) $2,000.