Accelerated Method of Depreciation

Accelerated method of depreciation is a method under which the company charges higher depreciation during earlier year of the asset life which is a different from straight line method of deprecation which charges fix amount every year.

Accelerated depreciation is used by the company either for tax purpose that is when company wants to show more deprecation as an expense and thereby reducing the profits for that year or when the asset has a shorter productive use for a company.

0 comments… add one

Leave a Comment


Related pages


deferred revenue expenditure accounting treatmentcapitalism advantagesexpenses meaning in hindiadvantages and disadvantages of using a debit cardformula for degree of operating leveragecharacteristics of managerial accountingdisadvantage of fdiwhat is the difference between a quota and a tariffskimming and penetration pricingwhat is the meaning of consignorpositives and negatives of urbanizationadvantages and disadvantages of globalization in international businessaccrued income meaningskimming pricing strategy advantages and disadvantagesplanned economy characteristicsimportance of hire purchaseforeign trade advantages and disadvantagescrossed chequesbond ladder strategyconglomerate company examplescomparison between socialism and capitalismsignificance of foreign exchange reservesdupont roe analysisdefinition of penetration pricingfull form of repo ratemonopolistic competition definition and examplesdifference between complementary and complimentarymeaning of wholesale bankingdisadvantages of deficit financingunearned revenue isagro based industries definitiondiversifiable risk definitiondifference between macro and micro economytypes of factoring methodscashless society advantages and disadvantageslocational arbitrage examplefifo method of stock valuationdifference between qualified and unqualified audit reportcapital account convertibility pptexample of cash inflowadvantages and disadvantages of profitability ratiosbenefits of fifojournal entry for salary paidunsystematic risk definitionadvantages and disadvantages of financial statementfull form of neft & rtgswhat is market skimming pricingbenefits of cashless policydistinguish between revenue and capital expendituresmateriality principle accountingdisadvantages of investing in stock markethow to write bearer chequewhy trial balance is preparedconglomerate strategycarriage inwards and outwardsdisadvantages to online bankingprocess costing disadvantagesglobalization benefits and drawbacksauthocratic leadershipdifference between a finance lease and an operating leaseadvantages and disadvantages of joint ventureadvantages and disadvantages of public corporationmeaning of loan syndicationimportance of accounting conventionsadvantages and disadvantages of population growthdisadvantages and advantages of mixed economydistinguish between job costing and process costingdemerits of decentralisationbenefits of a swot analysisadvantages of a swot analysismerits and demerits of globalisation in indian economyaccrued income examplejob order costing versus process costingdisadvantages of monopoly