Depreciation is an accounting and tax principle that acknowledges the useful life of a physical, long-term asset, which is an asset with a life span exceeding 12 months, and accounts for wear and tear ...

Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee ...

Accounting doesn't allow you to depreciate inventory. You can depreciate fixed assets that you own for years, reducing the value on your books to reflect their age. Over time, depreciation accumulates ...

Vikki Velasquez is a researcher and writer who has managed, coordinated, and directed various community and nonprofit organizations. She has conducted in-depth research on social and economic issues ...

Assets like equipment, vehicles and furniture lose value as they age. Parts wear out and pieces break, eventually requiring ...

Amortization and depreciation are non-cash expenses on a company's income statement. Depreciation represents the cost of capital assets on the balance sheet being used over time, and amortization is ...