When you buy a long-term asset for your sole proprietorship, you cannot deduct the entire purchase price in the year of purchase. You can only deduct a portion of the asset's cost each year over the ...

Capital assets are those that are expected to generate value for a company over an extended period of time. Common examples of capital assets include manufacturing equipment, computers, and vehicles.

Assets are items of value and that value is displayed on a company's balance sheet. When an asset is retired -- sold, donated or otherwise disposed of -- its value must be removed from the balance ...