How does "degressive/accelerated degressive" depreciation work? I am moving from Netsuite where they use a formula. Which one do I pick and how do I set it up?

Question

The formula is:
NB-(NB*(0.60^(1/12)))
This equates to reducing the balance by 40% each year, instead of the straight line method.

For an Asset purchased at $21,600 and depreciated monthly over 36 months, the first five entries would be:
$20,669.81 (depreciated down $900.19)
$19.837.14 (depreciated down $862.67)
$19,010.42 (depreciated down $826.72)
$18,218.15 (depreciated down $792.27)
$17,458.90 (depreciated down $759.25)

Fabrice Henrion (fhe) · Answer

Terminology has been improved in latest Odoo versions.
Linear = Straight Line
Degressive = Declining
Accelerated Degressive = Declining Then Straight Line
A graph might be easier to understand those concepts.

Ray Carnes (ray) · Answer

You can use the degressive method.
You just need to minus the multiplier from 1 like this:

1-(0.6^(1/12)) = 0.04167547137

Then plug this new multiplier into the Degressive Factor field:

The first five entries:

Complete depreciation schedule:

Aiheeseen liittyviä artikkeleita	Vastaukset	Näkymät
Asset Depreciation as per Companies Act, 2013 (India) depreciation	1 elok. 25	1153
Depreciation Calculation Error Odoon 18.2 Ratkaistu accounting depreciation	1 toukok. 25	2070
Asset Depreciation Calculation Ratkaistu asset depreciation	1 tammik. 25	3463
Bug in declining method in v.17 and v16. Ratkaistu depreciation AssetModel	1 tammik. 25	2394
Depreciation Rate Update depreciation assetmanagement	0 syysk. 22	2579

Tämä kysymys on merkitty

Nautitko keskustelusta? Älä vain lue, vaan osallistu!