Depreciation expense is the cost of an asset that has been depreciated for a single period, and suggests how a great deal of the asset's value has been used up in that year.
Accumulated depreciation is the total quantity of depreciation cost that has been allotted for an asset when you consider that the asset used to be put into use.
The depreciation term is found on both the income statement and the stability sheet. On the income statement, it is listed as depreciation expense, and refers to the amount of depreciation that was once charged to fee only in that reporting period.
Since the asset is section of everyday business operations, depreciation is regarded an running expense. Depreciation is one of the few expenses for which there is no outgoing cash flow.
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