How do i handle the worth of a car invested into the business by the owner?
Ok. Say a business owner has a car that they owned personally. They decide to turn it into a company car. I assume it means that this car can now be depreciated? (is this correct?) if it is, then how do i determine the dollar amount in which i should begin depreciating this new fixed asset? in other words, how do i figure out what the car is worth? if the owner is still making payments on the car, do i base the cars worth on the remaining balance of the car loan? what if the car is paid for- do i go off of the kelly blue book value. just trying to understand what dollar amount i should start depreciating a car at when it has been invested by an owner. thanks for any help you can provide.