Retirement Method of Depreciation

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Definition of 'Retirement Method of Depreciation '

An accounting procedure in which an asset is expensed for depreciation purposes only when it is removed from service instead of allocating its costs across the useful life of the asset. The depreciation expense must be reduced by the asset's salvage value, if any. Public utilities and railroads are the main types of businesses that might use this type of depreciation.
Investopedia Says

Investopedia explains 'Retirement Method of Depreciation '

The purpose of the retirement method of depreciation is to simplify accounting and recordkeeping for companies that own many similar assets that individually are low in value but together represent a significant expense. An electric company might use the retirement method of depreciation to account for the electric meters that are installed on the sides of residents' homes, for example.
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'Retirement Method of Depreciation '

  • An Introduction To Depreciation

    http://www.investopedia.com/articles/fundamental/04/090804.asp
    ... So, the numbers show that if Tricky uses the straight-line method, depreciation
    costs on the income statement will be significantly lower in the first years of ...

  • CFA Level 1 Study Guide - Assets - Depreciation Accounting ...

    http://www.investopedia.com/exam-guide/cfa-level-1/assets/depreciation-accounting.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • CFA Level 1 Study Guide - Assets - Accelerated Depreciation ...

    http://www.investopedia.com/exam-guide/cfa-level-1/assets/accelerated-depreciation.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • Depreciation: Straight-Line Vs. Double-Declining Methods

    http://www.investopedia.com/articles/06/depreciation.asp
    ... Note: This example uses the straight-line method of depreciation and not an accelerated
    depreciation method that records a larger depreciation expense during ...

  • CFA Level 1 Study Guide - Assets - Depreciation | Investopedia

    http://www.investopedia.com/exam-guide/cfa-level-1/assets/depreciation.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • Financial Statements: Long-Lived Assets | Investopedia

    http://www.investopedia.com/university/financialstatements/financialstatements7.asp
    ... however, look for trends and clues such as the following: The method of depreciation
    and the ... The Complete Guide To Retirement Planning For 30-Somethings. ...

  • CFA Level 1 Study Guide - Assets - Choosing the Appropriate ...

    http://www.investopedia.com/exam-guide/cfa-level-1/assets/choosing-accounting-method.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • CFA Level 1 Study Guide - Financial Statements - Cash Flow ...

    http://www.investopedia.com/exam-guide/cfa-level-1/financial-statements/cash-flow-indirect.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • CFA Level 1 Study Guide - Financial Statements - Cash Flow ...

    http://www.investopedia.com/exam-guide/cfa-level-1/financial-statements/cash-flow-direct.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

  • CFA Level 1 Study Guide - Fixed Income Investments - Early ...

    http://www.investopedia.com/exam-guide/cfa-level-1/fixed-income-investments/early-retirement.asp
    ... Choosing the Appropriate Accounting Method For Investment ... Intangible Assets; 8.19
    Depreciation; 8.20 Fixed ... Components; 9.10 Reporting The Retirement Or Conversion ...

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