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How can a nonprofit maintain net assets if depreciation expense is 25% of overall budget?

My nonprofit went into real estate by purchasing a building that dwarfs the core c3 on the balance sheet. So depreciation/amortization expense is killing me. It seems like the only way for me to maintain net assets is to have a surplus greater than depr/amort and then lock it up in cash (or other assets). That's very onerous. Otherwise my net assets will eventually fall to zero and below....Anyone with experience dealing with this?

Answers

J A
Title: Senior Controller
Company: SO Corner Prop Mgmt
(Senior Controller, SO Corner Prop Mgmt) |

What do you mean by core c3 on the balance sheet? I have never heard that.

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