Annual depreciation rate = 2/ estimated depreciation period × 100%
Monthly depreciation rate = annual depreciation rate/12
Monthly depreciation = net book value of fixed assets × monthly depreciation rate
Sum of years method:
Annual depreciation rate = sum of service life/estimated service life.
Monthly depreciation rate = annual depreciation rate/12
Monthly depreciation amount = (original price of fixed assets-estimated net salvage value) × monthly depreciation rate
Sum of Years Method: The sum of years method, also known as the sum of years method, is to multiply the net value of the original value of fixed assets minus the net residual value by a decreasing score year by year to calculate the annual depreciation. The numerator of this score represents the remaining useful life of fixed assets, and the denominator represents the sum of useful life. The calculation formula is as follows:
Annual depreciation rate = original value of fixed assets *( 1- estimated net salvage value rate) * sum of useful life/estimated useful life.
The sum of years method is mainly used in the following two aspects of fixed assets:
(a) due to technological progress, product upgrading is faster;
(two) in a state of strong vibration and high corrosion all the year round.
Extended data:
According to the depreciation principle of fixed assets, at the end of the service life of fixed assets, the value of fixed assets is all transferred to the product cost. Then the transferred value should be 100%, which is simplified to 1. Simply put, when the value of fixed assets is fully depreciated, the total depreciation rate should be 1, which is expressed by the mathematical formula: total depreciation rate = 1.
Now let's expand this formula as follows:
Total depreciation rate = 1
=( 1+2+3+……+ 10)÷( 1+2+3+……+ 10)
=( 1+2+3+……+ 10)÷55
= 1÷55+2÷55+3÷55+……+ 10÷55
If the service life of fixed assets with accelerated depreciation is 10 year, then the depreciation rate can be set as 10÷55 in the first year, 9÷55 in the second year, ... and 10 year in the third year.
The above is the origin process of the depreciation rate formula of the total depreciation method of fixed assets with the service life of 10 years. If it is 20 years, we only need to use the formula:
Total depreciation rate = 1
=( 1+2+3+……+20)÷( 1+2+3+……+20)
=( 1+2+3+……+20)÷2 10
= 1÷2 10+2÷2 10+3÷2 10+……+20÷2 10
You can also get the depreciation rate of each year within 20 years.
In accounting work or various accounting examinations, it is often required to calculate the depreciation of fixed assets in a certain year by double declining balance method. The traditional calculation method is:
Example: A hospital has a machine with an original price of 600,000 yuan, an estimated service life of 5 years and an estimated net salvage value of 24,000 yuan. It is required to calculate the depreciation in the third year and the depreciation in the last year.
Annual depreciation rate =2/5=40%
Depreciation payable in the first year = 600,000 * 40% = 240,000 yuan.
Depreciation accrued in the second year = (600000-240000) * 40% =144000 yuan.
Depreciation payable in the third year = (600000-240000-144000) * 40% = 86400 yuan.
4. Depreciation withdrawn every five years = (600,000-240,000-144,000-86,400-24,000)/2 = 52,800 yuan.
It can be seen that it is more troublesome to calculate the depreciation amount of a certain year or the previous year with the traditional calculation method. When the service life of equipment is 10 years or even longer, the amount of calculation is quite large. However, through my mathematical induction and repeated calculation, the formula for calculating the depreciation of fixed assets by double declining balance method is as follows:
1, depreciation amount accrued in the nth year = m * (1-2/n) (n-1) * 2/n.
M: indicates the original value of fixed assets.
N: indicates the service life of fixed assets.
N: indicates the year of depreciation of fixed assets.
According to the above example, the depreciation payable in the third year = 600,000 * (65,438+0-2/5) (3-65,438+0) * 2/5 = 86, 400 yuan.
2. Depreciation amount to be withdrawn every year in the last two years = [m * (1-2/n) (n-2)-m]/2.
M: indicates the net residual value.
According to the above example, the amount of depreciation payable in the latest year = [600000 * (1-2/5) (5-2)-24000]/2 = 52800 yuan.
Criteria for judging when to switch to straight line method
References:
Baidu Encyclopedia-Sum of Years Method
References:
Baidu Encyclopedia-Double Declining Balance Method