What was the total amount of the accumulated depreciation for Batteries Plus Bulbs in 2024?
Batteries_Plus_Bulbs Franchise · 2025 FDDAnswer from 2025 FDD Document
| ASSETS Current assets Cash and cash equivalents $ Accounts receivable, net Merchandise inventories, net Prepaid expenses Due from marketing fund | 10,716 29,858 56,393 4,426 668 102,061 | $ 26,197 25,763 48,576 4,665 |
|---|---|---|
| 1,034 | ||
| Total current assets | 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 | 220 |
| 50,107 | 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's 2025 Franchise Disclosure Document, the accumulated depreciation for the company in 2024 was $(29,978). This figure reflects the total depreciation recognized on the company's assets up to the end of 2024.
Accumulated depreciation is a contra-asset account that reduces the book value of assets like furniture, fixtures, equipment, vehicles, leasehold improvements, and software. The increase in accumulated depreciation from $(24,213) in 2023 to $(29,978) in 2024 indicates that Batteries Plus Bulbs recognized additional depreciation expense during the year.
For a prospective franchisee, understanding accumulated depreciation is crucial because it affects the net value of the company's assets and, consequently, its overall financial health. It also impacts the depreciation expense reported on the income statement, which affects profitability. Reviewing these figures helps potential franchisees assess the financial stability and asset management practices of Batteries Plus Bulbs.