Depreciation can be accrued only in the ways established by law. Currently, depreciation of fixed assets is calculated in four ways, the most common of which is linear.
Instructions
Step 1
With the linear method, the annual amount of depreciation deductions is determined based on the original or replacement cost of an item of fixed assets and the depreciation rate calculated depending on the useful life of this item. The replacement cost is used if a revaluation of fixed assets has been made. Use the following formula to determine the annual depreciation amount:
A = First x At / 100, where
- First - the initial or replacement cost of an item of fixed assets;
- On - the rate of depreciation for this object.
Step 2
To determine the depreciation rate, you need to know the useful life of the property. It is determined based on the expected life of the property in accordance with the planned capacity or performance. In addition, the useful life can be determined based on the expected physical depreciation, depending on the conditions and mode of operation or regulatory constraints, such as the lease term. If, as a result of the reconstruction or modernization, the performance indicators of the object of fixed assets have improved, then the period of its use may be revised.
Step 3
You can determine the useful life on the basis of the Classification of Fixed Assets, if the property was taken into account after 2002, and on the basis of the Decree of the Council of Ministers of the USSR, adopted in 1990 “On Unified Norms of Depreciation for the Full Restoration of Fixed Assets of the National Economy of the USSR », If the fixed asset was registered before 2002.
Step 4
To find out how depreciation is calculated, consider an example. The company bought a machine worth 250 thousand rubles. In accordance with the classification of fixed assets, it belongs to the depreciation group with a useful life of 3-5 years. The enterprise has set a period of 5 years. The annual depreciation rate will be 20% (100% / 5 years). Consequently, the annual amount of depreciation deductions will be equal to 250 thousand rubles. х20% / 100% = 50 thousand rubles.
