The asset’s cost and its accumulated depreciation will continue to be reported on the balance sheet until the asset is disposed of. For the December income statement at the end of the second year, the monthly depreciation is $1,000, which appears in the depreciation expense line item. For the December balance sheet, $24,000 of accumulated depreciation is listed, since this is the cumulative amount of depreciation that has been charged against the machine over the past 24 months. As the name suggests, it counts expense twice as much as the book value of the asset every year. An asset can r