This report provides a comprehensive analysis of Wesfarmers Limited's depreciation practices, focusing on the company's approach to property, plant, and equipment (PPE). It examines the classification of assets, useful lives, and the quantum of depreciation, referencing the 2016 financial statements. The report explores the methods used, primarily the straight-line method, and the reporting of PPE in the balance sheet and cash flow statements. It delves into the composition and valuation of PPE, including the impact of historical cost, accumulated depreciation, and impairment. The analysis covers depreciation rates, useful lives, and the impact of asset additions, disposals, and foreign currency movements. The report concludes by highlighting Wesfarmers' adherence to accounting standards and proper disclosures, including the capitalization of finance costs related to construction projects. The report provides an overview of the company's financial reporting of depreciation and the management estimates and judgements used in this representation.