Does the concept of property depreciation makes you sick?

[olubenson]

Well it does make me sick truely and i'd feel cheated​

Depreciation is calculated to write off the cost of items of property, plant and equipment less than their original estimated residual values using the straight line method over their estimated useful lives. In general, it could be operated in either profit or loss.

Though, capital work –in -progress represents building under construction and also the machinery which are yet to be installed. It is stated as Cost and not depreciated. Depreciation on capital work in progress commences when the assets are fully ready for their intended use.

Where an indication of impairment exists, an asset carrying amount is written down immediately to its recoverable amount if the assets carrying amount is greater than its estimated recoverable amount.


How do you feel about property depreciation / devaluation ?

 

[Alexandoy]

In our accounting subject in college there is a standard percentage of depreciation depending on the type of asset - 10% annual for machinery, 20% annual for vehicles but zero percent of depreciation in real estate. I have to agree on the depreciation of assets to at least be realistic in the value. It is wrong to value an old car for 90% of the original value when it is actually just 10% in value.

 

[Samuel72]

According to my point of view the concept property depreciation does not make me sick this is because I believe there is no possibility that can make a property to depreciate. Only reason a property can depreciate it is if you've used it for long periods of time and it all depends on the property that is involved, landed property can never depreciate it's only appreciate so I don't think it is possible for any landed property to depreciate the only property that can be appreciate material things

 

[Ozigba Richard Lamai]

yes the concept of property depreciation makes me sick anytime I think of it or go through it because it says that everything no matter how valuable, it is must appreciate every property has a depreciation value and when depreciation begins or when a property begins to depreciate then it lost its value its monetary value and also quality volume.

 

[Snazzy001]

this is one bad aspect of asset acquisition or control .imagine you buying an asset or a product and get to discover that the product is undergoing a depreciation .this can be very annoying and quite discouraging .that is why before you buy products ,you need to carefully selected in terms of demand and future expectation

 

[Henrylaw]

Whether a property is well maintained or not, depreciation will eventually run it course. So one should be prepared for the inevitable. Anything that is used often is expected to depreciate as time goes on so one should be sick, sad or worried about it. One thing that makes one to worry or get sick or tired is when you buy something you expect to appreciate but is depreciating. This can occur when buy large hectares of land during dry season and discover that the land is usually flooded during wet season. This will definitely affect the price or value placed on the land. This can cause a lot of worries and make you sick.

 

[Victor001]

Properties depreciation should not make you sick as long as you understand the risk management setting of the product, there is no product whose value won't depreciate with time except consumables.its left for you to either modify,rebrand or repackage the products to give it the proximity quality.before a product depreciate beyond repairs it suppose to go off the market.