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accumulated depreciation

   Also found in: Dictionary/thesaurus, Medical, Legal, Acronyms, Encyclopedia, Wikipedia 0.01 sec.
Accumulated Depreciation
The total depreciation on an asset, and not simply the depreciation that is added each year. One may calculate the accumulated depreciation by subtracting the original value of the asset from its current book value or by multiplying the yearly depreciation by the number of years the asset has been held.

accumulated depreciation
The total amount of depreciation that has been recorded for an asset since its date of acquisition. For example, a computer with a 5-year estimated life that was purchased for $2,000 would have accumulated depreciation of $800 [( $2,000/5 ) × 2] and a book value of $1,200 ($2,000 - $800) after 2 years of straight-line depreciation. Also called depreciation reserve.

accumulated depreciation

Also called accrued depreciation.



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These include a set of specialized reports for detailing specific lists of business building blocks; an upgrade to "find and replace" that supports title prefixes and suffixes; self-reference support for formula projections, making it easier to create projections that are based on previous line-item values; and modifications to objects that allow accumulated depreciation and amortization to be reported as negative values.
Say a property owner bought a multifamily residential building in 1994 for $1 million The property shows accumulated depreciation of $364,000, leaving a tax basis of $636,000.
 
 
 
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