JJ Company owns a building. Which of the following statements regarding depreciation as used by accountants is false?
a. As depreciation is recorded, stockholders’ equity is reduced.
b. Depreciation is an estimated expense to be recorded over the building’s estimated useful life.
c. As depreciation is recorded, the net book value of the asset is reduced.
d. As the value of the building decreases over time, it “depreciates.”