Operating leases are a popular way to finance the use of depreciating assets
. My own philosophy is to buy assets that have appreciation potential and lease assets that depreciate in value rapidly," he said.
Thousands of British owners are believed to be caught in the same trap after they put down deposits on 'off-plan' purchases as prices soared in 2006 to 2008, not realising they could be trapped in negative equity with a depreciating asset
if and when the market turned.
quality in turn, is hindering credit expansion.
A house is a depreciating asset
. The rising price of a property is due to the increase in the value of the land under the house as a result of community activity and public expenditure.
Losing both its tenant and an income stream would leave the school district with no means to finance the upkeep of a depreciating asset
Although cap rate increases led to depreciating asset
values, there is a silver lining for Miami's industrial market.
Off course this is given that they have ample cash to spend on a generally fast depreciating asset
such as a car (apart from Mercedes, BMW and the infamous Kia Sephia) as opposed to le nding and having the same amount invested in a business or other inflation-defeating asset or even possibly park the amount in a low-yield, low-risk savings fund.
Further, it's based on an assumption that goodwill is a depreciating asset
. This simply isn't economic reality.
But he conceded: "From the PLC's point of view, di Canio is a depreciating asset
However, being white or light-skinned is a depreciating asset
, an outmoded recipe for success in the world.
Then again, if he merely waited the price could keep going down and down and he is left with a depreciating asset
. Oil producers will use the technique to lock in a price for their oil in December, rather than letting their assets blow in the changing wind of market direction.
Although real property has been a depreciating asset
lately, the drop has been more of a cyclical change than structural change in the business.
Cars are a depreciating asset
and buying a used one may not yield returns, so this must not be your objective.
One company, Allianz Life, has even brought to market the first and only annuity that offers increasing income on a depreciating asset
. Think about it, for the first time in history you can not only offer your clients joint lifetime income, but you can also offer the ability to have income that is going up even if the investment value is going down--an invaluable tool when attempting to combat inflation.