Depreciation calculation ad per wdv basis

please tell me how to calculate wdv rate for calculating depreciation(dep on wdv basis).
Replies (8)
U can calculate it by using the formula - [1- (residual value/ wdv or cost)^1/n] Where n means remaining useful life But residual value cant exceed 5%
Use tht formula and outcome will be multiplied by 100 to get depreciation rate in % terms
what if residual value is "nil".....???
Originally posted by : Sidharth Shanakr
what if residual value is "nil".....???

i think almost all assets have some residual value , anyways thats nt the issue.

coming to the point, if asset does not have any residual value then u can put any nominal amount ... be it rs.10, 100 etc depending upon value of assets . 

it seems more logical i guess

i already know the formula,but i have to know the calculation part.Ex: s= 5000, orginal cost of asset=100000, life -10 yrs
Calculating Depreciation under WDV method: 1. Original Cost 100 2. Original Useful Life (Co Act, 1956) 20 years 3. Depreciation rate (Co Act, 1956) 13.91 % 4. New Useful Life (Co Act, 2013) 15 years 5. Expired Life 5 years 6. Remaining Useful Life (4-5) 10 years 7. Accumulated Depreciation 52.71 Depreciation will not be calculated over 15 years. It will be calculated over 5 years only. Formula to calculate WDV such square root: First divide 5,000/1,00,000 : 0.05 Press under root button 12 times Subtract 1 Divide by factor, here 10 Add 1 Press (* =) 12 times After these, amount 0.7412 Now, 1 � 0.7412 = .2588 i.e. 25.88 % Here, Carrying Amount = 100 � 52.71 = 47.29 but i don't get answer
process u r doing is correct but initially u had putted wrong value there..it should be 5000/wdv...because we hv alrdy charged dep on tht assets so u should divide it by cost - accumulated dep till date.. nw try to solve it..u will get answer
Thanks for the reply jyotsna i got the anawer

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
16 July 2026
Manager - Finance & Accounts

Aliens Group

Hyderabad

CA Final

View Details
Company
ARTICLESHIP 16 July 2026
Article Assistant

Sahil Agarwal & Company

Mumbai

CA Inter

View Details
Company
31 July 2026
Senior Accountant - Bunia, Democratic Republic of Congo

AD GLOBAL LTD

Mumbai

B.Com

View Details
Company
ARTICLESHIP 07 July 2026
Articleship

Jawahar and Associates Chartered Accountants

Hyderabad

CA Inter

View Details
Company
Featured 18 July 2026
Senior Manager- Finance & Accounts

apricus india

Ahmedabad

CA

View Details
Company
14 July 2026
Senior Executive/ Manager

H S SHARMA AND CO

Pune

CA Final

View Details
Company
ARTICLESHIP 28 July 2026
Article/Intern/Semi-Qualified/Fresher B.Com

VNSS & Co

Mumbai

Others

View Details
Company
Featured 16 July 2026
CA Inter, CA Intermediate, CA IPCC, CA CPT, CA SemiQualified

Vakilsearch.com

Chennai

CA Inter

View Details
Follow