Sometimes, for the fixed assets of certain businesses, the balance in Accumulated Depreciation is equal to the cost of the asset. a. Can one record additional depreciation on the assets if the assets are still useful to the business? b. Why? Explain: c. Also, when can such a business make an entry to remove the cost and accumulated depreciation of the fixed assets from the account?
Sometimes, for the fixed assets of certain businesses, the balance in
a. Can one record additional depreciation on the assets if the assets are still useful to the business?
b. Why? Explain:
c. Also, when can such a business make an entry to remove the cost and accumulated depreciation of the fixed assets from the account?
Depreciation means the loss in value of assets because of usage of assets , passage of time or change in technology.
Depreciation can not be charged in books of account until the fixed asset is ready to use.
Accumulated depreciation means an account where depreciation on fixed assets has been accumulated and not written down from fixed assets account.
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