FAC 1502 STUDY NOTES 2026 COMPLETE EXAM SCRIPT SOLVED RESPONSES PASSED A+

FAC 1502 STUDY NOTES 2026 COMPLETE
EXAM SCRIPT SOLVED RESPONSES PASSED A+
◉ current assets. Answer: cash and other assets expected to be
exchanged for cash or consumed within a year


◉ Current Liabilities. Answer: Obligations due within one year.


◉ Non-current liabilities. Answer: Long-term debts owed by the
business


◉ Debtors Account. Answer: Account tracking amounts owed by
customers.


◉ residual value. Answer: the expected value of a depreciable asset at
the end of its useful life


◉ straight-line method. Answer: Allocates an equal amount of
depreciation to each year of the asset's service life


◉ Diminishing balance method. Answer: Depreciation method reducing
asset value annually.

, ◉ production-unit method of depreciation. Answer: Annual depreciation
expense based on the amount of production expected from a plant asset


◉ Depreciation Schedule. Answer: the record detailing the amounts and
timing of depreciation for all fixed asset categories except land and any
construction-in-progress accounts


◉ machinery (at cost). Answer: debit + / credit -


◉ depreciation (machinery). Answer: debit + / credit -


◉ accumulated depreciation: machinery. Answer: credit + / debit
(balance c/d)


◉ profit or loss account. Answer: credit + / debit -


◉ expense. Answer: debit + / credit -


◉ income/ revenue. Answer: credit + / debit -


◉ assets. Answer: debit + / credit -


◉ Liabilitiy. Answer: credit + / debit -