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Constructive nonconformity
Accrual Basis
An accounting method where revenues and expenses are recorded when they are earned or incurred, regardless of when the cash transactions occur.
Income
The money received, especially on a regular basis, for work or through investments.
Depreciation Expense
Segmenting the cost related to a physical asset through its active life.
Accumulated Depreciation
The total amount of depreciation expense that has been recorded for an asset since it was acquired, representing how much of the asset's value has been used up.
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