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Accumulated Depreciation Definition - What is Accumulated De

Accumulated depreciation definition including break down of areas in the definition. Analyzing the definition of key term often provides more insight about concepts. Accumulated depreciation can be defined as: Cumulative sum of all depreciation expense recoded for an asset. Accumulated depreciation is usually related to fixed assets, long term asset that will be used into the future to help generate revenue. These assets are recorded at cost and that cost is depreciated over the useful life, depreciation allocating the cost over the time period the asset is used, deprecation being an accrual concept in accordance with the matching principle. Total deprecation for an asset over its useful life is accumulated and reported in accumulated depreciation, accumulated depreciation being a contra asset account. Book value is calculated as cost less accumulated depreciation. Why Learn Accounting - Financial Accounting / Managerial Accounting    • Why Learn Accounting - Accounting Beg...   101 Double Entry Accounting System Explained - Accounting Equation    • Double Entry Accounting System Explai...   101 Cash vs Accrual - Cash Method / Accrual method differenc    • 101 Cash vs Accrual - Cash Method / A...   101 Revenue Recognition Principle    • 101 Revenue Recognition Principle   Double Entry Accounting System Explained - Balance Sheet    • Double Entry Accounting System Explai...   101 Income Statement Introduction    • 101 Income Statement Introduction   101 Accounting Objectives - Relevance Reliability Comparability    • 101 Accounting Objectives - Relevance...   101 Transaction Rules - Accounting Equation    • 101 Transaction Rules - Accounting Eq...   101 Transaction Throught Process / Steps - Accounting Equation    • 101 Transaction Thought Process / Ste...   101 Owner Deposits Cash Transaction Accounting Equation    • 101 Owner Deposits Cash Transaction A...   101 Work Completed for Cash Transaction Accounting Equation    • 101 Work Completed for Cash Transacti...   100.110 Pay Employee with Cash Transaction Accounting Equati    • 100.110 Pay Employee with Cash Transa...   200 Debits & Credits Normal Balance - Double Entry Accounting Sy    • 200 Debits & Credits Normal Balance -...   200 Debits & Credits - One Rule to Rule Them All    • 200 Debits & Credits - One Rule to Ru...