Ch 3 · Depreciation Accounting

5 concept points · 4 formulas · 4 exam-critical points.

🧮 Formula sheet

1. SLM Depreciation = (Cost − Residual Value) / Useful Life
2. WDV Rate = 1 − (Residual / Cost)^(1/n)
3. Book Value = Cost − Accumulated Depreciation
4. Profit/Loss on Sale = Sale Proceeds − Book Value on date of sale