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The Difference between Depreciable Assets and Fixed Assets


This blog gives you the information on the difference between fixed and depreciable assets as essential types of assets based on the value they have for the firm in the long run. The term 'Fixed assets' is used in contrast with current assets that are not used in the firm's regular transactions. They, therefore, aid the production of the firm either directly or indirectly. They may have an appreciating value; however, they also have a depreciating value. Those fixed assets that have depreciating value are called depreciating assets, which adds to the firm's financial loss. Therefore, depreciating assets are a part of fixed assets. Intellectual property is a fixed intangible asset and may appreciate or depreciate.
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