Depreciation example sentences
Related (8): amortization, obsolescence, impairment, depletion, devaluation, write-down, deterioration, erosion
"Depreciation" Example Sentences
Common Phrases
- The company recorded a $10 million depreciation expense last year.
- The old car suffered from rapid depreciation due to wear and tear.
- Tax deductions can be claimed for the depreciation of business assets.
- Depreciation is an accounting procedure to allocate the cost of a fixed asset over its useful life.
- The accelerated methods of depreciation provide larger deductions in the earlier years of an asset's life.
- Due to inflation, the real value of an asset declines faster than its accounting depreciation.
- The depreciation expense reduces the asset's book value over time.
- A salvage value is estimated at the end of an asset's useful life for depreciation calculations.
- We use the straight-line depreciation method for most of our fixed assets.
- The declining balance depreciation method results in a more accelerated depreciation expense.
- The factory machinery experienced significant depreciation after five years of use.
- Depreciation policies vary by company and industry.
- The factory underwent a major overhaul to reduce equipment depreciation.
- Assets are depreciated to match the expense with the revenue they help generate.
- The land has no depreciation while the building suffers from depreciation over time.
- Sum-of-the-years' digits depreciation allocates a higher expense in the earlier years.
- Production continues despite the capital's depreciation through usage and aging.
- Residual values impact depreciation calculations for heavy equipment and vehicles.
- The factory expansion increased the initial cost basis for depreciation purposes.
- We analyze depreciation expense trends to identify potential issues with assets.
- Technological change accelerates the depreciation of some assets more than others.
- New assets are acquired to replace those suffering considerable depreciation.
- The machine's market value declined much faster than its accounting depreciation.
- Fully depreciating an asset for tax purposes does not mean it has no remaining value.
- Depreciation expense is excluded from cash flow from operating activities.
- Rapidly changing fashions can cause faster depreciation for apparel and fashion brands.
- Large depreciation deductions can reduce a business's taxable income.
- Buildings typically suffer from a slower rate of depreciation than equipment.
- Diminishing returns from an asset due to wear indicate depreciation.
- Land improvements like roads suffer from depreciation over time.
- The useful life assumption impacts the annual depreciation expense amount.
- Software and technology assets experience accelerated depreciation rates.
- Maintenance can prolong an asset's useful life and slow its depreciation.
- Cost basis for depreciation excludes the land portion of real estate assets.
- A depreciation schedule lists the annual depreciation expense over an asset's life.
- Regular asset impairment tests identify excessive depreciation and symptoms of obsolescence.
- Assets are depreciated up to their estimated salvage value at the end of useful life.
- Revaluation of fixed assets upwards resets the depreciation calculations.
- The IRS sets maximum allowable depreciation rates for different asset types.
- Rapid depreciation of equipment hampers a company's ability to produce goods.
- Reduced depreciation deductions may increase a business's currently taxable income.
- Diminished productivity of assets indicates their depreciation over time.
- Accounting depreciation aims to allocate cost, while economic depreciation reflects loss of value.
- The vehicle's rapid depreciation made it difficult to resell after three years of use.
- Strict depreciation policies help ensure accurate financial reporting and asset valuation.
- A depreciation charge affects the earnings reported on an income statement.
- Older aircraft are prone to accelerated depreciation due to technological obsolescence.
- Depreciation continues until the asset's book value reaches its estimated salvage value.
- Depreciation can negatively impact the resale value of assets.
- Software like computers typically have a 3-5 year useful life for depreciation purposes.
- Theoretically, assets cannot depreciate below their salvage or residual value.
- The equipment's depreciation accelerated as it approached the end of its useful life.
- Assets are often retired before they are fully depreciated for accounting purposes.
- Depreciation is subtracted from gross profit when calculating operating income.
- Used equipment may suffer substantial depreciation before being sold.
- The factory machines were showing signs of significant functional and economic depreciation.
- Technological obsolescence often causes faster depreciation of capital assets.
- More rapid depreciation deductions provide greater tax benefits in early years.
- Physical depreciation relates to wear and tear on assets from usage.
- Analyzing depreciation expense trends can reveal issues with asset productivity and profitability.