Yes, when you are doing different projects and want to show expenses related to each project separately on the income statement, you may want to show depreciation charges of fixed assets related to each project separately, that is among their respective project expenses list. This is the situation in my Company now. ( I currently achieve this with tracking codes since the cost/revenue centre setup in the organisation is straight forward i.e. Projects)
Another example is showing depreciation expenses among its functions e.g. depreciation of fixed assets used in selling and distribution, production, etc be grouped with their respective functions.
It calls for the need for custom depreciation expense account.
You can nicely set up Fixed Asset in the fixed asset tab with custom fields to show you balances of every group of fixed asset’s accumulated depreciation with sorting, it currently won’t be shown in balance sheet report but you could export and get what you want easily though it time consuming.
The request for a report showing accumulated depreciation for every group of asset is already in ideas. See