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Any business or income producing activity using tangible assets may incur costs related to those assets.
In determining the profits net income from an activity, the receipts from the activity must be reduced by appropriate costs. There's no Volkswagen-style emissions scandal - but the results may trouble you Image: Could not subscribe, try again laterInvalid Email Britain's most popular diesel cars are belching out far more harmful fumes on the roads than when they undergo official tests, it's emerged.
Generally the cost is allocated, as depreciation expense, among the periods in which the asset is expected to be used.
If an asset is expected to produce a benefit in future periods, some of these costs must be deferred rather than neda and jon dating service as a current expense. The Euro 6 cars did slightly better, but many were still over the limit.
Drivers will be shocked by these findings as emissions and fuel claims are important factors when buying a new car. But ministers warned there's hard work to be done if cars will meet 'real world' emissions limits the government is launching in future.
In the UK car tax is based on how much carbon dioxide engines produce - with low-emission vehicles paying nothing at all.
Depreciation expense generally begins when the asset is placed in service. Euro 5 describes cars made afterwhile stricter Euro 6 limits were brought in for cars made after September last year.