Search results
Results from the WOW.Com Content Network
Residual values are contractually dealt with either in terms of closed or open contracts. In accounting, residual value is another name for salvage value, the remaining value of an asset after it has been fully depreciated, or after deteriorating beyond further use.
The relevant book value in this case is determining the tax gain or loss of the asset. The tax basis then is the difference between the original cost and any accumulated depreciation. The disposal tax effect (DTE) is also calculated by getting the difference between the UCC cost and the salvage value and then multiplying it by the tax rate (TR).[1]
Depreciation in Accounting. ... a lower rate than the ordinary income tax if you owned the property long enough to qualify as a long-term asset. Land value: ... Estimate the salvage value and ...
An asset depreciation at 15% per year over 20 years. In accountancy, depreciation is a term that refers to two aspects of the same concept: first, an actual reduction in the fair value of an asset, such as the decrease in value of factory equipment each year as it is used and wears, and second, the allocation in accounting statements of the original cost of the assets to periods in which the ...
Terminal value (accounting), the salvage or residual value of an asset; Terminal value (finance), the future discounted value of all future cash flows beyond a given date; Terminal value (philosophy), core moral beliefs; Terminal value in Backus-Naur form, a grammar definition denoting a symbol that never appears on the left-hand side of the ...
Deprival value is a concept used in accounting theory to determine the appropriate measurement basis for assets. It is an alternative to historical cost and fair value or mark to market accounting. Some writers prefer terms such as 'value to the owner' or 'value to the firm'.
Assessing alternative projects of unequal lives (where only the costs are relevant) in order to address any built-in bias favouring the longer-term investment. [7] Determining the optimum economic life of an asset, through charting the change in EAC that may occur due to the fluctuation of operating costs and salvage values over time. [8]
Get AOL Mail for FREE! Manage your email like never before with travel, photo & document views. Personalize your inbox with themes & tabs. You've Got Mail!