Chapter 23 Accounting

Long-lived assets that are used in the production or sale of other assets or services over several accounting periods.

• Plant Assets

• Current Assets

• Intangible Assets

• Fixed Assets

Allocating a plant asset’s cost over its useful life.

• Amortization

• Appreciation

• Depreciation

• Liquidation

The estimated value of a plant asset at its replacement time; also called salvage value

• Acquisition Value

• Market Value

• Depreciation Value

• Disposal Value

A method that equally distributes the depreciation expense over an asset’s estimated useful life.

• Accelerated Depreciation

• Straight Line Depreciation

• Double Declining Balance Depreciation

• Sum of the Years Digit Depreciation

The total amount of depreciation for a plant asset that has been recorded up to a specific point in time.

• Accumulated Depreciation

• Depreciation Expense

• Depreciation Rate

• Depreciation Allowance

The original cost of a plant asset minus accumulated depreciation.

• Market Value

• Depreciation Value

• Book Value

• Salvage Value