Conventional accounting measures wealth W (assets and liabilities) and accounts for its net change, W(t + 1) - W(t), by means of income \Delta W(t), classified into various revenue and expense items. Proposed "momentum accounting" measures income momentum W\dot = dW/dt (time rate at which income...

This paper analyzes the pattern of periodic reinvestments in depreciable assets when the amount of reinvestment in each period is set equal to the amount of depreciation for the period and derives a constant to which the periodic investments converge. The expression for the constant which...