If you must make a choice between classifying accumulated depreciation as an asset or liability, it should be considered an asset, simply because that is where the account is reported in the balance sheet..
Related posts to accumulated depreciation accounts are liability accounts
Having an asset account such as Accumulated Depreciation allows a company's balance sheet to easily report both 1 the amount of an asset's cost that has been depreciated as of the date of the balance sheet, and 2 the asset's cost..
No, even though accumulated depreciation has a credit balance, it is shown under assets. Accumulated depreciation is a contra T-account to a fixed tangible asset. For example, "Accumulated depreciation machines" is a contra T-account to "Machines"..
For example, accounts payable is a liability owed to suppliers or other creditors for services rendered. Another example is a note payable to a bank or other credit to finance the purchase of building, equipment or other long term debt. Accumulated depreciation, on the other hand, is not an obligation to any other individual or entity..
Accumulated depreciation cannot be considered a liability, either, because the balance is not representative of anything owed to a third party. Rather, the accumulated depreciation line on a spreadsheet is for purely internal use and represents nothing of value to a party outside of the organization..