Accumulated depletion

Accumulated depletion is the amount of depletion expense that has built up over time in relation to the use of a natural resource. This amount is paired with the natural resource asset on the balance sheet as a contra account. The net effect of this pairing is that a reduced amount of natural resource asset appears on the balance sheet. The typical natural resource that is associated with depletion is a mine.

Related Courses

Accounting for Mining