Depreciation calculation help required

Depriciation will be available @ 15% on Rs.52,000 i.e Rs.7,800 for F.Y 2015-16.

Thank You Harshal for your reply.

But as per Schedule II of  Companies Act, 2013 depreciation is to be calculated on the basis of useful life of the asset unlike the old 1956 Act where depreciation % was mentioned.

Therefore I have calculated depreciation as follows:-

Xerox Copier comes under office equipment - 

Useful life - 5 years

Depreciation - 52000/5 = Rs. 10,400/-

But Iam not sure whether this is the correct way to calculate depreciation. Waiting for learned members view.

Regards,

Arjun Rajagopal

Dear Mr Arjun, the calculation shown by you is correct as per Schedule II of companies act,2013. My previous reply was as per the Income tax act,1961. Thanks

The Calculation is corret for SLM but you ignored Scrap Value 5% after considering the scrap value the yearly depreciation as per SLM shall be Rs. 9880/- ( 52000*.95 / 5).

Thank you Saliq. Wht abt 2nd year?

Depreciable amount is the cost of an asset, or other amount substituted for cost, less
its residual value. Ordinarily, the residual value of an asset is often insignificant but it should
generally be not more than 5% of the original cost of the asset.
Taking residual value will depend on management's estimate. It is not necessary to take residual value. However, wherever taken,it should not be more than 5%of original cost of asset unless management's estimate justifies higher residual value.

Hii.,

PFA of Depreciation Caluculation sheet, it will may help you.

If u have any doubt Please take other experts opinion on this sheet what I attached .