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Depreciable Cost of Asset Formula

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Depreciable Cost refers to the portion of an asset's cost that can be depreciated over its useful life. Check FAQs

DC = PC - SV

DC - Depreciable Cost?PC - Purchase Cost?SV - Salvage Value?

Depreciable Cost of Asset Example

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Here is how the Depreciable Cost of Asset equation looks like with Values.

Here is how the Depreciable Cost of Asset equation looks like with Units.

Here is how the Depreciable Cost of Asset equation looks like.

365000 = 410000 - 45000

365000 = 410000 - 45000

365000 = 410000 - 45000

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Depreciable Cost of Asset Solution

Follow our step by step solution on how to calculate Depreciable Cost of Asset?

FIRST Step Consider the formula

DC = PC - SV

Next Step Substitute values of Variables

∴

DC = 410000 - 45000

Next Step Prepare to Evaluate

∴

DC = 410000 - 45000

LAST Step Evaluate

∴

DC = 365000

Depreciable Cost of Asset Formula Elements

Variables

Depreciable Cost

Depreciable Cost refers to the portion of an asset's cost that can be depreciated over its useful life.

Symbol: DC

Measurement: NAUnit: Unitless

Note: Value should be greater than 0.

Formulas to find Depreciable Cost

Purchase Cost

Purchase Cost refers to the total amount paid to acquire an asset.

Symbol: PC

Measurement: NAUnit: Unitless

Note: Value should be greater than 0.

Formulas to find Purchase Cost

Salvage Value

Salvage Value is the estimated value that an asset will have at the end of its useful life.

Symbol: SV

Measurement: NAUnit: Unitless

Note: Value should be greater than 0.

Formulas to find Salvage Value

Other formulas in Asset Management category

Go Amortization of Intangible Assets

AE = \frac{HCIA - RV}{ULA}

Go Net Capital Spending

NCS = ENFA - BNFA + Dep n

Go Residual Income

RI = OI - MRRR \cdot AOA

Go Internal Growth Rate

IGR = RR \cdot ROA

How to Evaluate Depreciable Cost of Asset?

Depreciable Cost of Asset evaluator uses Depreciable Cost = Purchase Cost-Salvage Value to evaluate the Depreciable Cost, The Depreciable Cost of Asset is the cost basis of the depreciation expense following a capital expenditure. Depreciable Cost is denoted by DC symbol.

How to evaluate Depreciable Cost of Asset using this online evaluator? To use this online evaluator for Depreciable Cost of Asset, enter Purchase Cost (PC) & Salvage Value (SV) and hit the calculate button.

FAQs on Depreciable Cost of Asset

What is the formula to find Depreciable Cost of Asset?

The formula of Depreciable Cost of Asset is expressed as Depreciable Cost = Purchase Cost-Salvage Value. Here is an example- 365000 = 410000-45000.

How to calculate Depreciable Cost of Asset?

With Purchase Cost (PC) & Salvage Value (SV) we can find Depreciable Cost of Asset using the formula - Depreciable Cost = Purchase Cost-Salvage Value.

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Depreciable Cost of Asset Formula

Depreciable Cost of Asset Example

Depreciable Cost of Asset Solution

Depreciable Cost of Asset Formula Elements

Other formulas in Asset Management category

How to Evaluate Depreciable Cost of Asset?

FAQs on Depreciable Cost of Asset

Variable Name