Expense account

Negative (contra) asset account

Liability account

Equity account

Debit (increase) Depreciation expense by $50 and credit (increase) Accumulated depreciation by $50

Debit (increase) Office equipment by $2,400 and credit (increase) Accumulated depreciation by $2,400

Debit (increase) Office equipment by $3,000 and credit (increase) Accumulated depreciation by $3,000

Debit (increase) Depreciation expense by $600 and credit (increase) Accumulated depreciation by $600

Liabilities will be overstated and income will be understated

Assets will be overstated and income will be understated

Assets will be understated and income will be understated

Liabilities will be understated and income will be understated

Profit will be understated

Assets will be understated

Expenses will be understated

Equity will be understated

An understatement of assets and an understatement of income

An understatement of income and an understatement of liabilities

Profit to be overstated

An understatement of income and an overstatement of liabilities

Received and recorded as liabilities before they are earned

Earned but not yet received or recorded

Earned and already received and recorded

Earned and recorded as liabilities before they are received

Cash

Income received in advance

Office supplies

Prepaid advertising

Already been incurred and accrued expenses have not

Not been recorded while accrued expenses have

Been paid and recorded while accrued expenses have not

Not been paid while accrued expenses have