Term
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Definition
| The value of an asset determined by tax authorities for the purpose of calculating taxes |
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Term
| Book Value of a Plant Asset |
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Definition
| The original cost of a plant asset minus accumulated depreciation |
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Term
| Declining-Balance metod of Depreciation |
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Definition
| Multiplying the book value at the end of each fiscal period by a constant depreciation rate |
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Term
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Definition
| The decrease in the value of a plant asset obecause of the removal of a natural resource |
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Term
| Modified accelerated cost recovery system |
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Definition
| A depreciation method required by the Internal Revenue Service to be used for income tax calculation purposes for most plant assets placed in service after 1986. |
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Term
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Definition
| All property not classified as real property |
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Term
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Definition
| An accounting form on which a business recordds information about each plant asset |
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Term
| Production-unit method of depreciation |
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Definition
| Calculating estimated annual depreciation expense based the amount of production expected from a plant asset |
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Term
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Definition
| Land and anything attacked to the land |
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Term
| Straight-Line method of Depreciation |
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Definition
| Charging an equal amount of depreciation expense for a plant asset in each year of useful life |
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Term
| Sum-of-the-years-digits method of Depreciation |
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Definition
| Using fractions based on years of a plant asset's useful life. |
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