Using the straight-line method, we know that we will be creating a constant depreciation expense every year. We also know that the book value of the tractor should equal $8,000 after 10 years ...

Accumulated depreciation is used to calculate an asset's net book value, which is the value of an asset carried on the balance sheet. The formula for net book value is the cost of the asset minus ...

There are a variety of ways to value an asset and record it, but the most common is taking the purchase price of the asset and subtracting its depreciation cost. This is known as the book value ...

David Kindness is a Certified Public Accountant (CPA) and an expert in the fields of financial accounting, corporate and individual tax planning and preparation, and investing and retirement planning.

The double declining balance (DBB), or 200 percent DB method has a coefficient of 2 that allows a firm to deduct twice the depreciation percentage of the remaining book value. Following the above ...