Depreciation Calculator
Equipment costing 100,000 with a 10,000 salvage value over 10 years depreciates by 9000 in year 3 on the straight-line method.
9000
- Book value at the end of year 3
- 73000
| Year | Depreciation | Book value |
|---|---|---|
| 1 | 9000 | 91000 |
| 2 | 9000 | 82000 |
| 3 | 9000 | 73000 |
| 4 | 9000 | 64000 |
| 5 | 9000 | 55000 |
| 6 | 9000 | 46000 |
| 7 | 9000 | 37000 |
| 8 | 9000 | 28000 |
| 9 | 9000 | 19000 |
| 10 | 9000 | 10000 |
Step-by-step solution
- d = (P − S)/n = (100000 − 10000) ÷ 10
Depreciation Formula
Straight line: d = (P − S)/n
declining balance f = 1 − (S/P)^(1/n); SYD d_k = (P − S)(n − k + 1)/[n(n + 1)/2]
Worked Example
Equipment costing 1,00,000 with a 10,000 salvage value and a 10-year life, year 3:
- d = (P − S)/n = (100000 − 10000) ÷ 10
| Year | Depreciation | Book value |
|---|---|---|
| 1 | 9000 | 91000 |
| 2 | 9000 | 82000 |
| 3 | 9000 | 73000 |
| 4 | 9000 | 64000 |
| 5 | 9000 | 55000 |
| 6 | 9000 | 46000 |
| 7 | 9000 | 37000 |
| 8 | 9000 | 28000 |
| 9 | 9000 | 19000 |
| 10 | 9000 | 10000 |
GATE tip
Book value never goes below salvage value: switch DDB to straight line, or stop, when it would.
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Frequently asked questions
Which method gives the fastest write-off?
Double declining balance and sum of the years’ digits front-load depreciation, lowering early taxes.
What is the sinking-fund method?
Equal annual deposits earning interest accumulate to P − S; depreciation each year is the deposit plus interest.
Sources
- The International System of Units (SI), 9th edition (SI Brochure), Bureau International des Poids et Mesures .
Last reviewed: . Factors are stored exactly and computed with 50-digit decimal arithmetic. See how we verify conversion factors.
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APA
Scientific Converters. (2026, October 15). Depreciation Calculator. Retrieved October 29, 2026, from https://scientificconverters.com/calculators/depreciation-calculator/
IEEE
Scientific Converters, "Depreciation Calculator," scientificconverters.com. Accessed: Oct. 29, 2026. [Online]. Available: https://scientificconverters.com/calculators/depreciation-calculator/