Depreciation Calculation

The formulas used for the two depreciation methods are as follows.

•      Straight Line

Depreciation Expense = Calculated Accumulated - old Accumulated

Accumulated Expense = (Depreciable Base * (Number of Months to Depreciate / (Useful Life in Years * 12 Months per Year)))

•      Salvage Value

Depreciation Expense = ((Calculated Accumulated - Salvage Value) - old Accumulated)

Accumulated Expense = ((Depreciable Base - Salvage Value) * (Number of Months to Depreciate / (Useful Life in Years * 12 Months per Year)))

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Business Rules