What was the accumulated depreciation for Batteries Plus Bulbs in 2023?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| Current assets | |||
|---|---|---|---|
| Cash and cash equivalents | $ 10,716 | $ 26,197 | |
| Accounts receivable, net | 29,858 | 25,763 | |
| Merchandise inventories, net | 56,393 | 48,576 | |
| Prepaid expenses | 4,426 | 4,665 | |
| Due from marketing fund | 668 | 1,034 | |
| Total current assets | 102,061 | 106,235 | |
| Property and equipment | |||
| Furniture, fixtures and equipment | 15,913 | 14,383 | |
| Vehicles | 1,841 | 1,740 | |
| Leasehold improvements | 5,118 | 4,739 | |
| Software | 26,733 | 23,913 | |
| Finance lease right-of-use assets | 502 50,107 | 220 44,995 | |
| Accumulated depreciation | (29,978) | (24,213) |
Source: Item 23 — Receipts (FDD pages 80–279)
What This Means (2025 FDD)
According to Batteries Plus Bulbs' 2025 Franchise Disclosure Document, the accumulated depreciation in 2023 was $(24,213). This figure represents the total depreciation recognized on the company's assets up to the end of 2023. Accumulated depreciation is a contra-asset account that reduces the book value of assets on the balance sheet.
For a prospective Batteries Plus Bulbs franchisee, understanding accumulated depreciation is crucial for assessing the financial health and asset management practices of the company. It provides insight into how the company values its assets and manages its depreciation expenses. This information can be useful in evaluating the overall financial stability and profitability of Batteries Plus Bulbs.
It's important to note that accumulated depreciation is an accounting estimate and may not reflect the actual physical condition or market value of the assets. However, it provides a standardized way to account for the decline in value of assets over time. Franchisees should consider this figure in conjunction with other financial metrics to gain a comprehensive understanding of the company's financial performance.