Wpływ alternatywnych metod amortyzacji środków trwałych na wynik finansowy, nadwyżkę finansową i obciążenia podatkowe przedsiębiorstwa - analiza przyp
The impact of alternative methods of depreciation of fixed assets for profit company - case study

Summary/Abstract: : Purpose - The paper examines the impact of alternative methods of depreciation on the financial performance and financial surplus of the company. Methodology — The study was based on financial reports, statement of fixed assets, amortization plans, analytical records of fixed assets, depreciation, depreciation tables of fixed assets. In order to determine the impact of alternative methods of depreciation of fixed assets on the financial results there was used straight-line depreciation, sum-of-years-digits method and the methods of depreciation used by the Company X. Findings — The study showed that the use of straight-line depreciation resulted in achieving a much higher (almost double) in net profit over the period under consideration compared to the sum-of-years-digits method and policies used in the audited company. Depreciation policy has caused the lowest income tax burden on individuals to give at the same time the highest discounted financial surplus. Originality/value — The study showed that the company through an appropriate policy on depreciation can effectively influence the outcome of corporate finance, tax burden and achieved a financial surplus units.

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