Depreciation is used to measure the cost of an asset to the income that the asset helps the company earn. Is depreciation a credit or debit? Depreciation cost is a Debit entry and the counter entry is accumulated depreciation on an asset which is a credit entry.
Depreciation Fund Method or Sinking Fund Method of Depreciation: Learning Objectives: What is depreciation fund method or sinking fund method of depreciation? What are its advantages and disadvantages? Definition and Explanation: Depreciation fund method is also know as sinking fund method or amortization fund