Fixed asset impairment occurs when asset market value drops below its book value. To detect impairment, compare asset's book value against its recoverable amount. If impaired, reduce book value on ...

The book value of a company is the difference between that company's total assets and its total liabilities, as shown on the company's balance sheet. Book value represents the carrying value of assets ...

Typically, a company reduces the value of its fixed assets steadily over time as its real estate, equipment, and other assets are used in the normal course of business. Sometimes, however, unexpected ...

Typically, a company reduces the value of its fixed assets steadily over time as its real estate, equipment, and other assets are used in the normal course of business. Sometimes, however, unexpected ...

Julie Young is an experienced financial writer and editor. She specializes in financial analysis in capital planning and investment management. Michael Boyle is an experienced financial professional ...

Company assets include both quickly sellable items and long-term holdings like real estate. Liabilities represent all debts, ranging from short-term bills to long-term loans. Stockholders' equity ...

Daniel Liberto is a journalist with over 10 years of experience working with publications such as the Financial Times, The Independent, and Investors Chronicle. Investopedia / Eliana Rodgers ...

Businesses depreciate long-term assets for both tax and accounting purposes. For tax purposes, businesses can deduct the cost of the tangible assets they purchase as business expenses. Microsoft Excel ...

Fixed asset turnover is a key metric that helps investors and businesses understand how effectively a company uses its fixed assets to generate revenue. By analyzing this ratio, decision-makers can ...