Definition: Appreciation is an accounting treatment reflecting
- the increase in value of a tanglible asset (fair value appreciation).
- the allocation of the benefits of a tangible asset to the periods in which it is used (traditional appreciation).
The precise methods for calculating A differ per jurisdiction (country), accounting standard, and asset type. Accounting rules may require that an impairment charge or expense be recognized if the value of an asset increases suddenly.
A is the opposite of depreciation.



More on appreciation.
More on accounting and auditing: Accounting Cycle, Accounts Payable, Accounts Receivable, Amortization, Current Assets, more...


MBA Brief offers brief, yet very accurate definitions of MBA concepts, frameworks, methods and models. We keep it short and provide some links in case you'd like to learn more around a subject.

© 2021 MBA Brief - Last updated: 27-1-2021  -  Privacy   |   Terms