Showing posts with label Depletion. Show all posts
Showing posts with label Depletion. Show all posts

Similarities and differences among Depreciation, Depletion and Amortization


Depreciation is the systematic and rational allocation of tangible and current asset cost over the periods benefited by the use of the asset. 

Depletion is the periodic allocation of the cost of natural resources.

Amortization is the periodic cost allocation process for intangible assets.