Sorry I have to ask a seemingly basic accounting question.
On a YTD P&L statement, how should the depreciation expense be calculated?
For example, let's say we have to prepare a YTD P&L from 1-1-2016 to 1-31-2016. We know there is no additional depreciable item in this period. Based on the former depreciable items, the depreciation amount for the whole year of 2016 would be $10,000. Are we supposed to prorate $10,000 to 32 days in order to come up with the amount on the YTD statement?