Final answer:
Accumulated depreciation is a contra asset account (option c) that represents the cumulative amount of depreciation expense recorded for a fixed asset over its lifetime. It helps reflect how much of an asset's cost has been used up and is separate from the annual depreciation expense.
Step-by-step explanation:
The subject of the question is Accumulated Depreciation which is a financial concept used in accounting. Accumulated depreciation is a contra asset account that represents the total amount of depreciation expense that has been recorded against a fixed asset, such as equipment or buildings, over its lifetime. It is not used to show the cost expiration of intangibles or natural resources.
Instead, this account helps businesses keep track of the portion of the asset's cost that has been expensed as depreciation, thus reflecting how much of the asset has been used up during the course of its useful life. It is important to note that accumulated depreciation is separate from the depreciation expense for a single year, as the latter is the amount of depreciation recorded for that year while accumulated depreciation is cumulative over multiple years.