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217wildfire
217wildfire 217wildfire
  • 05-05-2016
  • Business
Answered

Accumulated depreciation of a particular plant asset refers to:

half-yearly depreciation

total depreciation.

or neither?

Verified Answer :

andriansp andriansp
  • 12-05-2016

The answer is : Total depreciation

For example, if you buy the Asset in January 2010 for 100,000 dollars with expected 10 years of usage.

Its annual depreciation would be : 100,000/10 = 10,000 dollars per years

In January 2015, the accumulated depreciation of that asset would be 10,000 dollars x 5 = 50,000 dollars

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