Learn how to calculate asset depreciation and amortization using the straight-line basis method. Discover its advantages, ...

Fixed assets are crucial for businesses, affecting financial health and strategy. Learn about types, depreciation, and ...

Typically, companies calculate depreciation for their own purposes using a method called straight-line depreciation. This method takes the acquired cost of the asset and divides its years of ...

Below you will see an example screenshot of a fixed asset report for a company: To calculate the current year depreciation, you will use the SLN function. Here’s how: Step 1: Insert Function. Click in ...

Depreciation is a fairly simple concept. When a business owner buys a fixed asset, that asset loses its value over time, and so its most current value must be accounted for on the company’s ...

So, if the company's payroll taxes and annual depreciation costs add up to $50,000 and the rest of the company's fixed costs amount to $40,000, then total fixed costs are $90,000 for the year.

By definition, an impairment is required any time an asset's fair value drops below its recorded cost. An asset's recorded cost is its purchase price, less its accumulated depreciation.

To calculate depreciation using the straight-line method, subtract the salvage value from the asset's purchase price, then divide that figure by the projected useful life of the asset.

February 28, 2016 — 09:44 am EST Written by How to Calculate Impairment of Fixed Assets for The Motley Fool -> ...

With that information, you can calculate how much to depreciate an asset each year over its useful life. Here’s an example: Company A purchases a building for $200,000 on June 1, 2017.

It's not that Uncle Sam does not want your clients to deduct those big-ticket items that are critical to running almost any business. The less cynical among us would nod and agree with the Internal ...