Depreciation rate calculation

Dear Nalini,

Please note:::

WDV= 1-(scrap value/cost)1/life
Always assume 5% of the cost as scrap value if missing( Sec. 350 of the Co.s Act)

Example:

1-(5000/1000000)^1/5years

steps to calculate dep rate

press underroot of .05 (12 times)

then

- 0.00073111  i.e. ( -1 + 0.99926888)

divide by life i.e. 5 years in this case

= - 0.000146222

then

+1= 0.999853777

then press multiply and equal to 12 times

It will come =0.54936

Dep rate would be 1-0.54936= 45.06 %

thanks