Calculating annual depreciation

This table contains annual depreciation calculations for the sample asset based on the Asset Management application's predefined depreciation calculation methods.

Predefined depreciation calculation method Year 1 depreciation calculation Year 2 depreciation calculation
125DB (125% declining balance) $1,500.00 $1,125.00
150DB (150% declining balance) $1,800.00 $1,260.00
175DB (175% declining balance) $2,100.00 $1,365.00
200DB (200% declining balance) $2,400.00 $1,440.00
SL (Straight Line) $1,200.00 $1,200.00
SYD (Sum of the year's digits) $2,000.00 $1,600.00

This table contains annual depreciation calculations for the sample asset based on several custom depreciation calculation methods.

Custom depreciation calculation method Year 1 depreciation calculation Year 2 depreciation calculation

Compute statement based on the formula:

[(Depreciable basis - Life-to-date depreciation) / (Life remaining / 12)]

$1,200.00 $1,200.00

Percent table based on the percentages:

  • Year 1 = 10%

  • Year 2 = 30%

 $600.00 $1,800.00

UOP table based on these production values:

  • The asset produced 5,000 units in its first year of service

  • The asset produced 1,000 units in its second year of service

  • The asset is expected to produce 9,000 units in its lifetime

 $3,333.33 $666.66