Straight-Line Depreciation

Posted by Professor Cram in Depreciation

Introduction to Straight-Line Depreciation

Depreciation is the reduction in value of an asset over its useful life, and the recognition of the resulting expense. It can be calculated in several ways.

The Straight-Line method is the simplest way to calculate annual depreciation, comparing the purchase price of the asset, its years of life, and its final salvage value.

This Formula Solver will walk you through the calculations, and let you use your own numbers to calculate your own Straight-Line Depreciation.

Straight-Line Depreciation

Calculating straight-line depreciation just got easier with this Formula Solver. We’ll walk you through the steps, using your numbers for the purchase price, salvage value, and years of life to find the annual depreciation for an asset.

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5 Responses to “Straight-Line Depreciation”

  1. love says:

    how will i know about the years applied for the depreciation and the salvage value?is it stated in the manual guide for each equipment??thank you

  2. CLARA says:

    PLEASE KINDLY GIVE SOME ILLUSTRATION USING THIS METHOD TO HELP TRY APPLY THE METHOD. THANKS

  3. Gemy says:

    Very helpful. People read the question don’t expect the website to do all the work. You should be able to figure out what is what, it doesn’t take a genious to realize what price is, value and useful life. Life is years, value and price is in $ form.

  4. sri says:

    plz give me some example problem on straight line method depreciation

  5. Dinesh says:

    W hy put the 60% computer Depreciation?

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