How to Use Straight-Line Depreciation?

Answer The straight-line method of depreciation is commonly used to calculate depreciation costs for financial statement purposes under generally accepted accounting principles (GAAP) in the United States... Read More »

Top Q&A For: How to Use Straight-Line Depreciation

Advantages of Straight-line Depreciation?

Straight-line depreciation is a method of accounting where the number of years the item is going to be used for and the re-sale value of the item are predetermined. Using these predetermined amount... Read More »

Reasons for No Salvage Value Using Straight-Line Depreciation?

Depreciation is both the decline in an asset's value and the procedure in accounting used to represent this phenomenon on the accounts. Said procedure deducts a portion of an asset's value in each ... Read More »

What is the advantage of MACRS over straight line depreciation?

MACRS is better because it allows you to take bigger deductions in the early years of the project which is a time value benefit.

Straight Line Depreciation's Effect on the Financial Statement?

Straight-line depreciation has varied effects on a company's financial statements, depending on the transaction and performance report. This cost-allocation method requires that a company spread th... Read More »