After reading this article you will learn about:- 1. Concept of Depreciation 2. Definition of Depreciation 3. Characteristics 4. Causes 5. Need 6. Basic. Contents: Concept of Depreciation Definition of Depreciation Characteristics of Depreciation Causes of Depreciation Need For Providing Depreciation Basic Factors in Estimating Depreciation 1. Concept of Depreciation: One of the basic objectives of financial accounting it to [...]
This article throws light upon the top six factors influencing choice of a depreciation method. The factors are: 1. Nature of Assets 2. Tax Considerations 3. Price Fluctuations 4. Accounting Conventions 5. Obsolescence 6. Management Policy. Factor # 1. Nature of Assets: The nature of the asset is of primary consideration in selecting the depreciation method. It will be seen [...]
In this article we will discuss about Depreciation of Assets:- 1. Meaning of Depreciation 2. Factors for Rate of Depreciation of Plant and Machinery 3. Reasons 4. Rates 5. Life Expired Assets 6. Replacement Value of Assets. Contents: Meaning of Depreciation Factors for Rate of Depreciation of Plant and Machinery Reasons for Charging Depreciation Rates of Depreciation Depreciation of Life [...]