Accounting & Finance
Depreciable base
The amount that will be written off over the asset's life.
The Formula
Base = Cost - Salvage
The amount that will be written off over the asset's life.
| Symbol | Meaning | Unit | Notes |
|---|---|---|---|
| C | Asset cost | currency | What the asset cost to acquire. |
| S | Salvage value | currency | Expected value at the end of its life. |
What Each Symbol Means
Ccurrency
Asset cost
What the asset cost to acquire.
Scurrency
Salvage value
Expected value at the end of its life.
See It Worked With Real Numbers
A formula on its own does not tell you which number goes where. The how to calculate depreciation page applies this equation to a concrete case, shows every intermediate step, and names the mistakes that produce a wrong answer even when the algebra is right.
Where This Formula Appears
This equation is the working core of How To Calculate Depreciation, filed under Business. Every number the guide produces comes from substituting into this one line.