Depreciation Table

For The Verticl Machine Center

Assumptions:
Acquisition Cost:
Useful Life:
Salvage Value:
Sum-Year's Digits:

$120,000
5 Years
$20,000
15

Lifetime Production Units:

72,000

Annual Production:

14,400

Method:

Straight-Line

Sum of Year's

Double-declining

MACRS

Units of

Depreciation

Digits

Balance

Acquisition Cost:

$120,000

$120,000

$120,000

$120,000

Production

Salvage value Considered:

$20,000

$20,000

$20,000

$0

$20,000

Depreciable Value

$100,000

$100,000

$100,000

$120,000

$100,000

Depreciable

Depreciable

Depreciable

Depreciable

Depreciable

YR 1

value
20.00%

value
33.33%

Value
20%

Value
25%

YR2

20.00%

26.7%

40%

32%

25%

YR3

20.00%

20%

40%

19.20%

25%

YR4

20.00%

13.3%

40%

11.52%

25%

YR5

20.00%

6.7%

40%

11.52%

25%

$120,000

$120,000

$120,000

$120,000

$120,00

20.00%

33.33%

40%

20%

25%

Depreciation Expense:

$20,000

$33,333

$48,000

$24,000

$30,000

Remaining Book Value:

$100,000

$86,667

$72,000

$96,000

$90,000

20.00%

26.7%

40%

32%

25%

Depreciation Expense:

$20,000.00

$26,666.67

$28,800

$38,400

$22,500

Remaining Book Value:

$80,000

$60,000.33

$43,200

$57,600

$67,500

$120,000

Depreciation Factors:
Value
40%

Depreciation Tables:
Acquisition Cost:
Yr1
Depreciation Factor:

Yr2
Depreciation Factor:

Yr3
Depreciation Factor:

40%

19..20%

Depreciation Expense:

$20,000

20.00%

$20,000

20%

$17,280

$23,040.00

$16,875

25%

Remaining Book Value:

$60,000

$40,000.33

$25,920

$34,560

$50,625

Yr4
Depreciation Factor:

20.00%

13.3%

0%

11.52%

25%

Depreciation Expense:

$20,000

$13,333.33

$0

$13,824

$12,656.50

Remaining Book Value:

$40,000

$26,667

$25,920

$20,736

$37,968.50

(can't depreciate any further)

Yr5
Depreciation Factor:

20%

6.7%

0%

11.52%

25%

Depreciation Expense:

$20,000

$6,666.67

$0

$13,824

$9,492.12

Remaining Book Value:

$20,000

$20,000

25,920

$6,912

$28,476.38

Salvage value

Salvage Value

Salvage Value

Salvage Value

Salvage Value