Assets like equipment, vehicles and furniture lose value as they age. Parts wear out and pieces break, eventually requiring repair or replacement. Depreciation helps companies account for the ...

In accrual basis accounting, when your business purchases a long-lived asset, such as a vehicle, a building or a piece of equipment, you don't immediately write off the full cost as an expense. Rather ...

Accounting for depreciation can be a helpful accounting trick when businesses make a major purchase. Depreciation has several different meanings, depending on the context in which it’s being used.

Learn how EBITD gauges profitability before taxes and depreciation. Understand its benefits and limitations to better evaluate financial performance.

Depreciation is the gradual loss of value of an asset over time. This concept is not just for accountants or economists; it affects everyone who owns tangible assets like cars, computers, or machinery ...

Computers, office chairs and factories all wear down and lose value over time. Depreciation is how accountants factor that fact into their number-crunching. A depreciated five-year-old computer isn't ...

Depreciation is a word with so many meanings that it is all but meaningless. In asset management, depreciation must be defined carefully each time it is used, and there must be a full understanding of ...

Under the Modified Accelerated Cost Recovery System, the half-year depreciation convention generally applies to personal property. Under this convention, only a half-year of depreciation is allowed ...

Explore the key differences between successful-efforts and full-cost accounting methods for oil and gas companies, including their impact on expenses and financial transparency.

Under the Tax Cuts and Jobs Act, bonus depreciation now applies to both new and used property, and includes rental real estate. This change encourages more real estate investments, as well as ...