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A $5 million deposit outflow from a bank has the immediate effect of
Units-Of-Output Depreciation
A depreciation method that allocates an asset's cost based on its usage or production levels, rather than simply the passage of time.
Depreciable Cost
The total cost of a tangible asset that is subject to depreciation, excluding salvage value, to allocate over the asset's useful life.
Depreciation Rate
The percentage rate at which an asset is depreciated across its useful life, affecting the value of the asset on the balance sheet over time.
Straight-Line Method
A method of calculating depreciation by dividing the cost of an asset, minus its salvage value, by its useful life.
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