Option #2: Depreciation Methods

Prepare a research paper on the various methods of depreciation. Your research should include:

  1. An analysis of why depreciation is an allocation process and not valuation process.
  2. A description of the following depreciation methods:
    1. ACRS
    2. MACRS
    3. traight-line depreciation.
  3. An explanation of the how cost recovery is different for natural resources.
  4. An explanation of why there could be a difference between the depreciation amount on a company’s book (book depreciation) and the depreciation amount on a company’s tax return (tax depreciation).

Your paper must meet the following requirements:

  • Your written paper should be 3-4 pages in length not counting the title and reference pages, which you must include.
  • Use terms, evidence, and concepts from class readings.
  • You need to cite at least three sources for this assignment.
  • The CSU-Global Library is a great place to find resources. You can also useGoogle Scholar and www.ssrn.com. Do not use the textbook as a source.
  • Your paper must be formatted according to the CSU-Global Guide to Writing and APA.

If you need assistance with your writing style, start with the links under the Research Help and Writing Help tabs on the CSU-Global Library’s homepage.

Review the grading rubric, which can be accessed in the Module 6 Materials folder, to understand how you will be graded on this assignment. Reach out to your instructor if you have questions about the assignment.