Depreciation of Capital AssetsFIN-ACC-I-180
All Indiana University units and employees.
Effective July 1, 1990, Indiana University will depreciate the capital asset categories of moveable equipment, buildings, infrastructures, leasehold equities, library books and equipment start up costs.
Reason for Policy
To convey the application of the accounting concept of depreciation for the university.
The calculating and applying of the value decreases are the responsibility of Financial Management Services.
Depreciation: A financial recognition of the diminishing service capacity or utility; the lost usefulness; the wasting away of a tangible asset during the periods of service life.
The source to this policy is:
Financial Accounting Standard Board (FASB)Statement 96, Governmental Accounting Standards Board (GASB) Statement 8