depreciation

Accumulated Depreciation represents the expense related to the fixed assets still carried on the books of the company; sometimes the term 'reserve for depreciation' is used.

The sum of the years' digits is a method of accelerated asset depreciation that deducts for greater depreciation in the earlier part of an asset's useful life and less nearer the end of it.

Straight line depreciation, the most common method of depreciating assets, simply divides the initial cost of an asset by the number of years that it will presumably be of use.

Straight-line depreciation is just as it infers: the same amount is deducted each year, so if you are depreciating a $10,000 piece of equipment over 5 years, you would deduct $2000 a year.

The real estate assets subject to a synthetic lease do not appear on the lessee's balance sheet and no depreciation is charged against earnings for SEC reporting purposes, but its structure allows improvements to be depreciated for tax purposes, thus preserving the tax shelter aspect of owning improved real estate.

Depreciation is the difference between a vehicle's original value and its value at lease-end (residual value), and is the primary factor that determines the cost of leasing.