Legal Definition of Depletion Accounting
Meaning of Depletion Accounting
Natural resources, such as metals, oil, gas and timber, that conceivably can be reduced to zero over the years, present a special problem in capital management. Depletion is an accounting practice consisting of charges against earnings based upon the amount of the asset taken out of the total reserves in the period for which accounting is made. A bookkeeping entry, it does not represent any cash outlay nor are any funds earmarked for the purpose.
Related Entries of Depletion Accounting in the Encyclopedia of Law Project
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Depletion Accounting in Historical Law
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Legal Abbreviations and Acronyms
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