Question

In the blank space beside each numbered balance sheet item, enter the letter of its balance sheet classification. If the item should not appear on the balance sheet, enter a Z in the blank.

A. Current assets

B. Long-term investments

C. Plant assets

D. Intangible assets

E. Current liabilities

F. Long-term liabilities

G. Equity

12. Accumulated depreciation—Trucks

Short answer

The correct answer is C. Plant assets

Step-by-step solution

Definition of Accumulated depreciation

The accumulated amount of depreciation to be shown as the deduction from the book value of the asset at the time of the sale of the fixed asset is known as Accumulated depreciation of the asset.

Reason of choice

The accumulated depreciation of the truck is related to the plant (truck) of the organization, so it should be classified as the plant asset section of the balance sheet.