Ask Experts Questions for FREE Help !
Ask
    mrn's Avatar
    mrn Posts: 2, Reputation: 1
    New Member
    		  
    #1

    May 16, 2009, 03:31 AM
    Depreciation
    Hi,

    I am having a problem with depreciation please can you kindly help me how to calculate in simple format and how to record it in income statement and in balance sheet
    pready's Avatar
    pready Posts: 3,197, Reputation: 207
    Ultra Member
    		  
    #2

    May 16, 2009, 02:38 PM

    There are different methods for calculating depreciation. For the most part you need to know the purchase price of the asset, the salvage value, and the useful life of the asset.

    The journal entry to record depreciation will be:
    Debit depreciation Expense for the amount (Income Statement Account)
    Credit Accumulated Depreciation for the amount (Balance Sheet Account, Contra Asset)
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Accumulated Depreciation and Depreciation Expense [ 10 Answers ]

I have accumulated depreciation and depreciation expense. Do they go together on the Asset side of the balance sheet? My balance sheet is not balancing! The accumulated depreciation is subtracted from the assets on my balance sheet. If I add the depreciation expense to the assets, my balance...

Depreciation Expense and Accumulated Depreciation are classified,respectively, as: [ 3 Answers ]

Depreciation Expense and Accumulated Depreciation are classified,respectively, as: a. expense, contra asset b. asset, contra liability c. revenues, asset d. contra assest, expense I think it is A

Depreciation methods; partial year depreciation [ 5 Answers ]

A company had a bulldozer that was destroyed by fire. The bulldozer originally cost $170,000. The accumulated depreciation on it was $90,000. The proceeds from the insurance company were $155,000. The company should recognize a.A loss of $75,000. b.A loss of $80,000. c.A gain of...

Depreciation Expense and Accumulated Depreciation are classified, respectively, as [ 2 Answers ]

Depreciation Expense and Accumulated Depreciation are classified, respectively, as

View more questions Search