Amortization and depreciation are non-cash expenses on a company's income statement. Depreciation represents the cost of capital assets on the balance sheet being used over time, and amortization is ...

Reviewed by Charlene Rhinehart Fact checked by Vikki Velasquez Businesses depreciate long-term assets for both tax and accounting purposes. For tax purposes, businesses can deduct the cost of the ...

Depreciation is a concept and a method that recognizes that some business assets become less valuable over time and provides a way to calculate and record the effects of this. Depreciation impacts a ...

Depreciation determines the loss of value of an asset over its useful life. Many, or all, of the products featured on this page are from our advertising partners who compensate us when you take ...

Assets like equipment, vehicles and furniture lose value as they age. Parts wear out and pieces break, eventually requiring repair or replacement. Depreciation helps companies account for the ...

Q. I was excited to see the article about ways to calculate depreciation in Excel, especially when I saw one of them was double-declining balance (DDB). As tax professionals, we’re always trying to ...

Greg DePersio has 13+ years of professional experience in sales and SEO and 3+ years as a writer and editor. Charlene Rhinehart is a CPA , CFE, chair of an Illinois CPA Society committee, and has a ...

Generally speaking, your return on invested capital, or ROIC, refers to the profits you receive relative to the money you've invested. For example, if you spent $100,000 to start a business and you ...

When you review your small business's balance sheet, it's important to compare accounts across multiple years to identify any trends. To make this process easier, you can convert each account's dollar ...

Invested capital typically refers to a combination of shareholders' equity and long-term debt, both of which can be found on the balance sheet. Shareholders' equity is generally the last item listed, ...