351 – Buildings & Improvements – Accumulated Depreciation

Fixed Assets

 

Synopsis

Account 351

Debits

Credits

  1. The accumulated depreciation on building(s) purchased or constructed for use in the automobile business.

  2. The accumulated depreciation on improvements, alterations, additions, and permanent fixtures attached to the building(s).

  1. The monthly provision for depreciation on building(s) purchased or constructed for use in the automobile business.

  2. The monthly provision for depreciation on improvements, alterations, additions, and permanent fixtures attached to the building(s).

 

Remarks:

This account balance represents the total accumulated depreciation of buildings and improvements recorded in Buildings and Improvements (Account 281).

 

Rates of depreciation vary according to the type of asset and its use, as well as other factors.  It is recommended that the dealer obtain outside accounting and tax counsel to aid in determining proper depreciation rates.

 

Note: