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  • Salvage Value Excel Template

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    DIGITAL SIR
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    Kites Ltd. purchased an asset for $1 million that is expected to have a useful life of 20 years. The asset will be depreciated at a rate of 20% per year. To calculate the salvage value of the asset, the original cost is multiplied by (1 minus the depreciation rate) raised to the power of the number of years. For this asset, the salvage value is calculated to be $115,292.22.

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    Salvage-Value-Excel-Template

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    Kites Ltd. purchased an asset for $1 million that is expected to have a useful life of 20 years. The asset will be depreciated at a rate of 20% per year. To calculate the salvage value of the asset, the original cost is multiplied by (1 minus the depreciation rate) raised to the power of the number of years. For this asset, the salvage value is calculated to be $115,292.22.

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    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
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    15 views3 pages

    Salvage Value Excel Template

    Uploaded by

    DIGITAL SIR
    Kites Ltd. purchased an asset for $1 million that is expected to have a useful life of 20 years. The asset will be depreciated at a rate of 20% per year. To calculate the salvage value of the asset, the original cost is multiplied by (1 minus the depreciation rate) raised to the power of the number of years. For this asset, the salvage value is calculated to be $115,292.22.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 3

    Salvage Value Template

    Prepared by Dheeraj Vaidya, CFA, FRM


    dheeraj@wallstreetmojo.com

    visit - www.wallstreetmojo.com
    Kites Ltd. has bought an asset of $1 million. They figured that the useful life of the asset would be around 20 year
    And the depreciation rate on which they will depreciate the asset would be 20%. Find out the salvage value of th

    Original cost of the as 1,000,000


    depreciation rate 20%
    number of years 20 years

    Salvage Value 11529.22 =D6*(1-D7)^D8


    he asset would be around 20 years.
    %. Find out the salvage value of the asset Kites Ltd. just purchased.

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