Michael

Depreciation Expense vs. Accumulated Depreciation One of the most confusing concepts in accounting is distinguishing between depreciation expense and accumulated depreciation.  First, these are two separate accounts. Depreciation expense pertains to any depreciation incurred during the present period and thus belongs on the Income Statement.  Here’s an example from Target Stores, which combined depreciation expense and amortization expense into a single line item. Accumulated depreciation includes not just [...]