Oracle® OLAP DML Reference 10g Release 1 (10.1) Part Number B1033902 


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The DEPRDECL function calculates the depreciation expenses for a series of assets. DEPRDECL uses the declining balance method to depreciate the assets over the specified lifetime of the assets. The starting value and ending value are specified for the assets acquired in each time period.
Return Value
DECIMAL
Syntax
DEPRDECL(startexp endexp n [declinefactor [{FULLHALFportionexp} [timedimension]]])
Arguments
A numeric expression that contains the starting values of the assets. The startexp expression must be dimensioned by a time dimension. For each value of the time dimension, startexp contains the initial value of the assets acquired during that time period. In addition to a time dimension, startexp can also have nontime dimensions.
A numeric expression that contains the ending values of the assets. The endexp expression must be dimensioned by the same dimensions as startexp. For each value of the time dimension, endexp contains the final (or salvage) value for the assets acquired during that time period. Each value of startexp must have a corresponding endexp value. For example, when the assets acquired in 1996 have a salvage value of $200
, then the value of endexp for 1996 is $200
.
An integer expression that contains the number of periods for the depreciation life of the assets. The n expression can have any of the nontime dimensions of startexp, but it cannot have a time dimension.
A numeric expression that gives the declining balance rate to use for calculating the depreciation expenses. The declinefactor expression can have any of the nontime dimensions of startexp, but it cannot have a time dimension.
A factor of 2 indicates a double declining balance. The default is 2
.
Specifies that the full amount of a time period's depreciation expense is charged to the time period in which assets were acquired. Charges the full amount to all of the assets in the series. (Default)
Specifies that half of the full amount of a time period's depreciation expense is charged to the time period in which assets were acquired. Charges half the full amount to all of the assets in the series. You might want to use HALF when assets are acquired during the second half of the time period.
When you want to charge the full amount for some assets and half the amount for other assets, you can supply a portionexp expression that is dimensioned by any of the nontime dimensions of startexp. The portionexp expression must be a text expression with values of FULL or HALF.
The name of the time dimension by which startexp and endexp are dimensioned. When the time dimension has a type of DAY, WEEK, MONTH, QUARTER, or YEAR, the timedimension argument is optional.
Notes
The result returned by DEPRDECL is dimensioned by all the dimensions of startexp.
When you include either of the two final optional arguments (FULL or HALF or portion and timedimension), you must also include the preceding optional arguments.
DEPRDECL calculates the depreciation expense for a given time period as the sum of that period's depreciation expenses for all assets in the series that are not yet fully depreciated. The first period of depreciation for an asset is the period in which it was acquired.
When you specify HALF as the portion of depreciation expenses to charge to the period of acquisition, the HALF factor is applied to each period. Half of each period's full depreciation is rolled to the next period, and the final half period of depreciation takes place in the time period n
+ 1
.
For each time period, DEPRDECL calculates the declining balance depreciation expense by multiplying the current value of an asset by the declinefactor and dividing the result by the number of periods in the lifetime of an asset. However, when the calculation for a specific time period results in an asset's current value going below the ending value, then the depreciation expense is adjusted. In this instance, the depreciation expense is calculated as the current value minus the ending value.
When the ending value specified for an asset is low enough that the depreciation expense for the last period does not need to be adjusted, then the total depreciation expense over all the periods will usually be less than the starting value minus the specified ending value.
When the ending value specified for an asset is relatively high, then an asset might be totally depreciated in fewer periods than were specified for the lifetime of the depreciation. In this instance, when you want the depreciation expense applied across the specified lifetime of the depreciation, you can lower the declinefactor.
When a value of startexp is NA
and the corresponding value of endexp is not NA
, an error occurs. Similarly, when a value of endexp is NA
and the corresponding value of startexp is not NA
, an error occurs.
DEPRDECL is affected by the NASKIP option when a value of startexp and the corresponding value of endexp are both NA
. When NASKIP is YES
(the default), DEPRDECL treats the values as zeros when calculating the depreciation expenses. When NASKIP is NO
, DEPRDECL returns NA
for all affected time periods.
The DEPRDECL calculation begins with the first time dimension value, regardless of how the status of that dimension may be limited. For example, suppose startexp is dimensioned by year
, and the values of year
range from Yr95
to Yr99
. The calculation always begins with Yr95
, even when you limit the status of year
so that it does not include Yr95
.
The pure decliningbalance method of depreciation used by DEPRDECL is not the most widely used form of the decliningbalance method. For a more commonly used form of the decliningbalance method, see the DEPRDECLSW function, which uses a combination of the decliningbalance and straightline methods.
The DEPRSL function, which uses the straightline method to calculate depreciation expenses, and the DEPRSOYD function, which uses the sumofyears'digits method to calculate depreciation expenses.
Examples
Example 111 Using DEPRDECL to Calculate Depreciation Expenses for Assets Acquired in a Single Period
This example shows how to use DEPRDECL to calculate depreciation expenses for assets acquired in a single time period.
The following statements create two variables called assets
and salvage
.
DEFINE assets DECIMAL <year> DEFINE salvage DECIMAL <year>
Suppose you assign the following values to the variables assets
and salvage
.
YEAR ASSETS SALVAGE    Yr95 1,000.00 100.00 Yr96 0.00 0.00 Yr97 0.00 0.00 Yr98 0.00 0.00 Yr99 0.00 0.00 Yr00 0.00 0.00
The assets
variable contains the starting value of the assets acquired in 1995. The salvage
variable contains the ending value of the assets acquired in 1995.
The following statement reports asset and salvage values, along with depreciation expenses for the assets. Note that the call to DEPRDECL to calculate the depreciation expenses specifies an asset lifetime of 5 periods (in this case, years) and a decline factor of 2 (doubledeclining balance).
REPORT assets salvage W 12 HEADING 'Depreciation'  DEPRDECL(assets salvage 5 2 FULL year)
This statement produces the following output.
YEAR ASSETS SALVAGE Depreciation     Yr95 1,000.00 100.00 400.00 Yr96 0.00 0.00 240.00 Yr97 0.00 0.00 144.00 Yr98 0.00 0.00 86.40 Yr99 0.00 0.00 29.60 Yr00 0.00 0.00 0.00
In this example, the depreciation expense for 1999 is adjusted so that the current asset value does not fall below the salvage value. The current asset value is calculated by subtracting the accumulated depreciation expense from the starting asset value. For example, for 1998 the accumulated depreciation expense is $870.40 ($400.00 + $240.00 + $144.00 + $86.40 = $870.40). This means the current asset value for 1998 is $129.60 ($1,000.00  $870.40 = $129.60). In this example, the depreciation expense is usually calculated by multiplying the current asset value by 2 and then dividing the result by 5. Now, if $129.60 is multiplied by 2, then divided by 5, the resulting depreciation expense is $51.84. If this depreciation expense is subtracted from the 1998 current asset value of $129.60, the current asset value for 1999 would be $77.76, which is below the salvage value of $100. Instead of letting the current asset value fall below the salvage value, the DEPRDECL function subtracts the salvage value ($100.00) from the current asset value ($129.60) to calculate the depreciation expense ($29.60).
Example 112 Using DEPRDECL to Calculate the Depreciation Expenses for Assets Acquired in Multiple Periods
You can also use DEPRDECL to calculate the depreciation expenses for a series of assets.
Suppose you change the values for the year 1997 in the variables assets
and salvage
to the values shown in the following report.
YEAR ASSETS SALVAGE    Yr95 1,000.00 100.00 Yr96 0.00 0.00 Yr97 500.00 50.00 Yr98 0.00 0.00 Yr99 0.00 0.00 Yr00 0.00 0.00 Yr01 0.00 0.00 Yr02 0.00 0.00
Now assets
and salvage
contain nonzero values for 1995 and for 1997
The following statement reports the values of assets and salvage, and uses DEPRDECL to calculate depreciation expenses for each year, specifying an asset lifetime of 5 years, and a decline factor of 2 (double declining balance).
REPORT assets SALVAGE W 12 HEADING 'Depreciation'  DEPRDECL(assets salvage 5 2 FULL year)
This statement produces the following output. (Notice that the depreciation expense increases in 1997 due to the assets acquired in that year.)
YEAR ASSETS SALVAGE Depreciation     Yr95 1,000.00 100.00 400.00 Yr96 0.00 0.00 240.00 Yr97 500.00 50.00 344.00 Yr98 0.00 0.00 206.00 Yr99 0.00 0.00 101.00 Yr00 0.00 0.00 43.20 Yr01 0.00 0.00 14.80 Yr02 0.00 0.00 0.00