Depletion Charge per Unit Formula

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The depletion charge per unit is calculated by taking the total cost less salvage value and dividing it by the total number of estimated units. Check FAQs
DC=OC-RVnDepletion
DC - Depletion Charge per Unit?OC - Original Cost?RV - Residual Value?nDepletion - Total Number of Units Depletion?

Depletion Charge per Unit Example

With values
With units
Only example

Here is how the Depletion Charge per Unit equation looks like with Values.

Here is how the Depletion Charge per Unit equation looks like with Units.

Here is how the Depletion Charge per Unit equation looks like.

291.55Edit=3500Edit-1.4Edit12Edit
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Depletion Charge per Unit Solution

Follow our step by step solution on how to calculate Depletion Charge per Unit?

FIRST Step Consider the formula
DC=OC-RVnDepletion
Next Step Substitute values of Variables
DC=3500-1.412
Next Step Prepare to Evaluate
DC=3500-1.412
LAST Step Evaluate
DC=291.55

Depletion Charge per Unit Formula Elements

Variables
Depletion Charge per Unit
The depletion charge per unit is calculated by taking the total cost less salvage value and dividing it by the total number of estimated units.
Symbol: DC
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Original Cost
Original Cost is the total cost associated with the purchase of an asset.
Symbol: OC
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Residual Value
Residual value is a leasing method, which signifies the future value of an asset in terms of depreciation percentage of the asset's basic value.
Symbol: RV
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.
Total Number of Units Depletion
Total Number of Units Depletion is the total number of units available for depletion.
Symbol: nDepletion
Measurement: NAUnit: Unitless
Note: Value should be greater than 0.

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How to Evaluate Depletion Charge per Unit?

Depletion Charge per Unit evaluator uses Depletion Charge per Unit = (Original Cost-Residual Value)/Total Number of Units Depletion to evaluate the Depletion Charge per Unit, The depletion charge per unit is calculated by taking the total cost less salvage value and dividing it by the total number of estimated units. Depletion Charge per Unit is denoted by DC symbol.

How to evaluate Depletion Charge per Unit using this online evaluator? To use this online evaluator for Depletion Charge per Unit, enter Original Cost (OC), Residual Value (RV) & Total Number of Units Depletion (nDepletion) and hit the calculate button.

FAQs on Depletion Charge per Unit

What is the formula to find Depletion Charge per Unit?
The formula of Depletion Charge per Unit is expressed as Depletion Charge per Unit = (Original Cost-Residual Value)/Total Number of Units Depletion. Here is an example- 290.8333 = (3500-1.4)/12.
How to calculate Depletion Charge per Unit?
With Original Cost (OC), Residual Value (RV) & Total Number of Units Depletion (nDepletion) we can find Depletion Charge per Unit using the formula - Depletion Charge per Unit = (Original Cost-Residual Value)/Total Number of Units Depletion.
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