On 2025-09-18 11:23, David Warren wrote:
> So when you buy a car, you capitalize it on your balance sheet? (I do too,
> just curious what others do). Then I credit an auto asset account and debit
> auto expense year by year so I get a fair sense of what the car costs me
> annually.

Since you ask, I do the same, except I depreciate it monthly. My debit
is to Expense:Car Depreciation and my credit to Asset:Car.

To compute the amount, I use Excel's SLN function for straight-line
depreciation over 8 years with a salvage value of 20% of the purchase
price, which might seem high except that I bought it three years old.
(The 11-year lifetime is realistic; I drove my previous Toyota for 14
years.)

Stan Brown
Tehachapi, CA, USA
https://BrownMath.com
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