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One of the key elements in determining the correct annual depreciation amount is selecting the appropriate property class. The property classes are listed in Appendix B of this publication like 00.11 for Office Furniture, Fixtures and Equipment. This asset class includes furniture and fixtures that are not a structural component of a building.
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The cost of the furniture is $10,000 and the invoice allows a discount of 1% if it is paid within 10 days. If the company pays the invoice within 10 days, the Furniture and Fixtures account will increase by $9,900 ($10,000 minus the discount of $100). The depreciation calculations will be based on the cost of $9,900. Related Q&A.
The purpose of our manager’s business trip is for our new office move. Since the project might last more than 6 months, we figure out it’s better for our budget if we rent an apartment for her than to stay in the hotel (which costs $200/night). @ Valerie: The apartment is for one of our upper managers from headquarter office (from a foreign.
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