Depreciation Expense is a Debit entry and the counter entry is Collected.It is generally begins when the asset is placed in service. In other words, Depreciation expense is the amount of reduction, as expressed in dollars, that an asset had during the fiscal year.
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