Bookkeeping

In such a scenario, the effect on the income statement will be the same as if no depreciation expense happened. The sale of completely depreciated assets must be disclosed accurately, and all applicable tax laws and regulations must be followed. If the sale price of a completely depreciated asset is less than its tax basis, …

What is the accounting treatment for an asset that is fully depreciated, but continues to be used in a business? Read More »

That can help transform your labor costs from a variable expense to a fixed expense and allow you to keep those expenses under tighter control. As a result, your variable expenses will go down and your contribution margin ratio will go up. Once you know that you have a net loss on your hands, you …

Contribution margin ratio definition Read More »