ACCT 284 at Iowa State University

8. Capital vs. Revenue Expenditures

in Topic 8 (Video 8 of 8)
Some assets are going to require more money to be spent on them. If you have an asset that requires some sort of additional outlay, you can either capitalize or expense that amount of money. If you do capitalize it, you must also depreciate it, which leads to a change in depreciation.

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Depreciable Base = Cost - Salvage Value

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