Depreciate


 

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Depreciate

See depreciation.

Depreciate

To allocate the purchase cost of an asset over its life.



Depreciate

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Depreciated cost

Depreciated cost

In terms of economics: The measure of cost of capital consumption during production, e.g., machine and equipment wear. In terms of finance: The process of amortization of fixed assets (equipment) to spread the cost over the depreciable life of the assets.


Fully depreciated

Fully depreciated

An asset that has already been charged with the maximum amount of depreciation allowed by the IRS for accounting purposes.




 
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