DEPRECIATION_SLN Function

Evaluates the depreciation of an asset using the straight-line method.

Usage

result = DEPRECIATION_SLN (cost, salvage, life)

Input Parameters

cost—Initial value of the asset.

salvage—The value of an asset at the end of its depreciation period.

life—Number of periods over which the asset is being depreciated.

Returned Value

result—The straight line depreciation of an asset for its life. If no result can be computed, NaN is returned.

Input Keywords

Double—If present and nonzero, double precision is used.

Discussion

Function DEPRECIATION_SLN computes the straight line depreciation of an asset for its life. It is computed using the following:

(cost-salvage)/life

Example

DEPRECIATION_SLN computes the depreciation of an asset, which costs $2,500 initially, lasts 24 periods and a salvage value of $500.

PRINT, DEPRECIATION_SLN(2500, 500, 24)

; PV-WAVE prints: 83.3333