Income is perhaps the single most important measurement of a business's success in running its operations, but it is inaccurate and misleading unless the business records revenues and expenses in the ...

Depreciation expense can be a big portion of a company’s total expense. And since expenses decrease income, it affects the overall value of a company. Understanding what it is and the methods can help ...

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 ...

Learn how to calculate the written-down value (WDV) to determine the current worth of an asset after depreciation or amortization, also known as book value.

The decision of whether to expense or depreciate purchases and assets on business income taxes involves equal parts art and science. Although the IRS sets rules and guidelines about how to handle ...

Depreciation determines the loss of value of an asset over its useful life. Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take ...

Andriy Blokhin has 5+ years of professional experience in public accounting, personal investing, and as a senior auditor with Ernst & Young. Andy Smith is a Certified Financial Planner (CFP®), ...

Over time, the value of a company's capital assets decline. This is a normal phenomenon driven by wear and tear, obsolescence, and other factors. This depreciation in the asset's value must be ...