Question (2) Which statement correctly describes a relationship between expenses and assets? O All expenses are initially booked in the accounts as assets. O Fixed assets will turn into an expense through the consumption of the asset via depreciation. 4 O Expenses are recognised when they are paid in cash, but fixed assets are recognised when an invoice for their purchase is received. Fixed assets are a form of immovable, tangible expense.

Which statement correctly describes a relationship between expenses and assets? All expenses are initially booked in the accounts as assets Fixed assets will turn into an expense through the consumption of the asset via depreciation. Expenses are recognised when they are paid in cash, but fixed assets are recognised when an invoice for their purchase is received. Fixed assets are a form of immovable, tangible expense