Definition
Depreciation is the process of allocating the cost of tangible assets over their useful life, reducing taxable income.
Related Services
Asset valuation, tax strategy, and accounting services help businesses calculate and optimize depreciation.
Problem and Application
Incorrect depreciation methods can affect financial statements and tax liabilities. Companies must choose between straight-line, declining balance, or other methods.
Conclusion
Proper depreciation accounting helps businesses manage asset values, optimize tax deductions, and maintain accurate financial reporting.
