What is depreciation? Learn how it works, the main methods and how it impacts your business taxes and accounting.

Understanding depreciation can help you lower taxes, plan smarter finances, and see the true value of what you own over time.

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.

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 ...

Companies use depreciation to spread the cost of a fixed asset over the life of that asset. Doing this allows your company's financial statements to match the expense of acquiring an asset with the ...

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 ...

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 ...

Depreciation is key in maximizing asset ROI, while minimizing the financial impact of acquisition. How companies choose to write down assets over time differs, yet all write-downs follow a ...

Businesses use depreciation on physical assets such as buildings and equipment to spread the cost of the assets over time, allowing the expense to be deducted while the assets are in use. For ...

A new study from AAA shows that the largest expense associated with purchasing a new car is depreciation. Depreciation accounts for almost 40% of the cost of owning a new vehicle and equals more than ...