Categories

Posts Tagged ‘salvage value’

Using Microsoft Excel’s Straight-line and Sum-of-the-years Digits Depreciation Functions

Friday, July 18th, 2008

Analyzing real estate investments? Making book depreciation calculations? Microsoft Excel can help. Excel’s SLN, or straight-line depreciation, function lets you easily calculate standard straight-line depreciation amounts. And Excel’s SYD, or sum-of-the-years-digits, function lets you easily calculate standard sum of the year’s digits depreciation.

Excel provides handy depreciation functions for making straight-line depreciation calculations (which are typically used for real estate depreciation) and for making sum-of-the-years-digits depreciation calculations (which may be used for book depreciation.). As you might expect, both are straight-forward to use and easy to understand.

Straight-line Depreciation calculations with the SLN function