Depreciation as defined. It means decrease in value due to wear and tear, decay, decline in price.

Please I need the meaning of straight line as used in accounting.

IT true depreciation should be charge against those two vehicles

Depreciation bring back return

Accounting -> Depreciation Example Example At 1 January vehicles have a balance of $90 000. On 1 April a further vehicle is bought for $10 000. The vehicles are to be depreciated at 15 percent per annum, straight line. The accounting period ends on 30 June. Calculation: $90 000 x 15/100 x 6/12 = $ 6750 $10 000 x 15/100 x 3/12 = $375 Total depreciation = $7125

WE can find out calculations of two vehicles for 6 months and 3 months respectively; depreciation of both vehicles was 7125 dollars which should be shown as selling expenses in P/L account and net asset after deducting depreciation should be shown in balance sheet.

explain how 6 and 3 come along

yeah

you have to spend money to make money, will always be my moto!1

What is an example of depreciation?