Difference Between Accumulated Depreciation and Depreciation Expense
An important aspect of accounting is calculating the depreciation of assets. It helps in discerning their precise and correct value. This further proves to be useful in processes such as taxation.
Accumulated depreciation and depreciation expense are two kinds of depreciation that have several differences between them. Knowing them is important for the sake of accuracy.
Accumulated Depreciation vs Depreciation ExpenseThe main difference between accumulated depreciation and depreciation expense is that accumulated depreciation refers to the overall loss in value of an asset over a particular period of time whereas depreciation expense refers to the cost that has been incurred on an asset during a particular year, and reported at the end of the year itself.