Filter
Top Products
9: Depreciation 117
File name : English-M02-1-040308(Print).doc Print data : 2004/3/9
Example: Declining-Balance Depreciation. A metalworking machine,
purchased for $10,000, is to be depreciated over 5 years. Its salvage
value is estimated at $500. Find the depreciation and remaining
depreciable value for each of the first 3 years of the machine’s life using
the double-declining-balance method (200% of the straight-line rate). For
comparison, find the straight-line depreciation, as well.
Keys: Display: Description:
Displays DEPRC menu.
10000
Cost basis.
500
Salvage value.
5
Useful life.
1 First year of depreciation.
200
DB percentage factor.
Depreciation in first year.
(Salva
g
e value i
g
nored at
this point.)
]
Remaining depreciable
value after first year
(BASIS - SALV - 4,000).
2 Depreciation in second
year.
]
Remaining depreciable
value after second year.
3 Depreciation in third year.
]
Remaining depreciable
value after third year.
Straight-line depreciation
for each year.