Which of the following statements regarding the recording of depreciation for general capital assets is true?

Multiple Choice

• Depreciation expenditures should be debited and accumulated depreciation should be credited.

• Depreciation expenses should be debited and the general capital assets should be credited.

• Depreciation expense is allocated and recorded at the government-wide level with a debit to the functions or programs of government and a credit to accumulated depreciation.

• Because depreciation does not involve the use of financial resources, it is not necessary for the government to record it at the fund level or government-wide level.