Remaining Value Calculation for Add Transactions: Depreciate When In Service Off

The following table shows data that is used in the calculation.

Attributes Data

Transaction Date

10/1/2006

Accounting Date

10/1/2006

In-Service Date

3/1/2006

Life

60 periods

Cost

6,000 USD

Accumulated Depreciation

500 USD

Calculation Type

Remaining Value

Convention

Half-Year

Method

Straight-Line

Depreciate When In Service Switch

N

Begin Depr Date

7/1/2006

Remaining Value

5,500 USD

Remaining Life

60 periods

Yearly Depreciation (First year)

550 USD

Period Allocation (First year)

91.66 USD

Period Depreciation Allocation

Here is the period depreciation allocation:

Period depreciation allocation = Yearly depreciation / Number of periods remaining in a year

550 USD yearly depreciation / 6 periods = 91.66 USD per period