Straight Line Net Book Value Calculator

Depreciation per year book value depreciation rate.

Straight line net book value calculator. The value of the assets is largely dependent on the book value. Double declining balance is the most widely used declining balance depreciation method which has a depreciation rate that is twice the value of straight line depreciation for the first year. Net book value original asset cost accumulated depreciation.

Straight line depreciation schedule calculator download. B book value over a period of time p present amount or worth. Book value is used to determine the market position of a company.

To compute for book value four essential parameters are needed and these parameters are present amount or worth p salvage value s total estimated life of the asset n and number of years of the asset t. This means that the new book value at the end of an accounting period would be 20 less than the previous book value. Uses of book value.

Net book value formula original purchase cost accumulated depreciation original purchase cost here means the purchase price of the asset paid at the time when the company purchased the assets. Sample calculation of net book value. The formula for calculating nbv is as follows.

In addition the calculator provides a straight line depreciation schedule setting out for each period the beginning asset balance starting with the cost of the asset the depreciation expense and the ending net book value of the asset for each period of the assets useful life. Use a depreciation factor of two when doing calculations for double declining balance depreciation. Also known as residual value or scrap value useful life.

When it reaches the end of its useful life the nbv should be equal to its salvage value. Use this calculator to calculate the simple straight line depreciation of assets. Accumulated depreciation per year depreciation x total number of years.