When a fixed asset is capitalized at the time of installation, it simply means that the asset's total cost is gradually "depreciated," or amortized over future periods instead of expensing the total ...

If you run a business that uses depreciable fixed assets and you prepare financial statements in accordance with generally accepted accounting principles, impairment of an asset can impact your ...

TO PROVIDE BUSINESSES WITH GUIDANCE ON WHEN and how to recognize a liability for asset retirement obligations, FASB issued Statement no. 143, Accounting for Asset Retirement Obligations. The statement ...

Depreciation spreads the cost of tangible assets over their useful life on income statements. Each year, $1,500 is recorded as a depreciation expense, reducing the asset's book value. Amortization and ...