The PP&E account is often denoted as the net of accumulated depreciation. This means that, if a company does not purchase new equipment (capital expenditures is zero), net PP&E should slowly decrease in value every period due to depreciation. This can be better determined by a depreciation schedule.
The formula for calculating net PP&E is:
Net PP&E = Gross PP&E + Capital Expenditures – Accumulated Depreciation
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