[Verse 1] When machines wear down and buildings crack Accountants track the value stack A million-dollar factory floor Won't hold that worth forevermore The IRS says spread the pain Across the years through sunshine, rain [Chorus] Straight-line slides so smooth and steady Divide by years, your answer's ready Accelerated front-loads fast Double declining, shadows cast Units-of-production counts each part Three methods, know them all by heart [Verse 2] Sarah bought a printing press For fifty thousand, nothing less Salvage value ten remains After five years of printing gains Straight-line takes the forty thousand Splits it even, never rounded [Chorus] Straight-line slides so smooth and steady Divide by years, your answer's ready Accelerated front-loads fast Double declining, shadows cast Units-of-production counts each part Three methods, know them all by heart [Verse 3] Double declining doubles rate Twenty percent becomes forty-eight First year hammers book value down Second year strikes what's left around Early years bear the heavy load Later years ease down the road [Bridge] Units method watches wheels spin Miles driven, widgets thin High usage means high expense Low production, dollars dense Activity drives the depreciation dance Not time alone, but circumstance [Verse 4] Financial statements tell the tale Which method makes your margins sail Straight-line smooths out quarterly bumps Accelerated front-end thumps Cash flow stays the same throughout But earnings swing without a doubt [Chorus] Straight-line slides so smooth and steady Divide by years, your answer's ready Accelerated front-loads fast Double declining, shadows cast Units-of-production counts each part Three methods, know them all by heart [Outro] Assets fade but value flows Choose your method, fortune knows Depreciation tells the story Of machines that lose their glory
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