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calculate deppreciation rate

Others 1901 views 7 replies

How to calculate Deppreciation rate using reducing balance method through normal calculator? 

Formula is : [1- scrap value/ cost of assets^ life years]*100

 

for example: scrap value of machine is 200000rs. cost of assets is 20,00,000 & life time is 10 years. Rate of depp?

i want to know that how to calculate this ^ ?

Replies (7)

Dear Ganga,

The formula for Rate of Depriciation on WDV basis will be

Rate = {1 minus nth root of (S/C)}*100

for your reference I have prepared the Depriciation rate calculation (please find attached to this reply.

Devide by 10 yrs discouted rate of return Value

Originally posted by :Ganga
" How to calculate Deppreciation rate using reducing balance method through normal calculator? 
Formula is : [1- scrap value/ cost of assets^ life years]*100
 
for example: scrap value of machine is 200000rs. cost of assets is 20,00,000 & life time is 10 years. Rate of depp?
i want to know that how to calculate this ^ ?
"


 

HI,

   YES IT IS RIGHT = 1-ROOT EXPECTED LIFE OF ASSETS S/C*100

Dear Mr. Inderjeet,

Your formulae still needs recitification,

Rate = {1 minus "number of year's" root of "Scrape value" divide by "Cost"}*100

plz send me that attached file in another format. it's xls file. i am not able to open this.

Dear Ganga,

You need to have MS excel installed in your PC to look at this file.

I understand there are no other like software/application which can satisfy our purpose.

for your ready reference I am attaching same file again.

Regards

Hi

You can calculate depreciation rate using log table.


CCI Pro

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