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In addition to depreciation of fixed assets in the number of years is not required for the fixed assets depreciation of years?

In addition to depreciation of fixed assets in the number of years is not required for the provision of fixed asset depreciation period? Example: Housing, Buildings: 20 years Machinery and Equipment: 10 years electronic equipment, transport equipment: 5 years?

Posted on 2013-05-09 15:01:16

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Your understanding is correct. Depreciation of fixed assets is the original value of fixed assets amortization expense in the form of access through the operating costs of enterprises, thereby gradually recover business activities. Age restrictions for depreciation of fixed assets is based on the use of fixed assets, the nature and physical wear and tear, depreciation in the form of a balanced manner in order to enter the operating costs, and thus all of the required compensation for the number of years. For example, housing, buildings under 20 years of age, it is through the form of depreciation, annual depreciation costs 1 / 20 (in practice should consider scrapping of fixed assets can be recovered after the salvage value), then 20 years finished just depreciation, the purchase of the original value of all fixed assets have been effectively compensated.

2013-05-09 15:01:16
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