Answer:
C. contra asset, expense
Explanation:
The depreciation is an expenditure indicating a decline in the value of the fixed assets due to wear and tear, obsolescence, use, time period, etc. It's shown on the income statement debit side This is a non-cash item which has no effect on the cash balance.
Whereas the accumulated depreciation is an contra asset which reduce the asset balance. It records the depreciation in arrears and reported in the asset side of the balance sheet
Like
Equipment (XXXXX)
Less - Accumulated depreciation (XXXXX)
Net value of equipment (XXXXX)
