Give equation for calculating depreciation under reducing balance method.

Give equation for calculating depreciation under reducing balance method.
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1 Answer

Answer :

Dep per annum= (NBV- Salvage)*rate;
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Last Answer : It can only be achieved by reducing rate of Dep retrospectively.

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Last Answer : Prospective Change means the effect of accounting estimate and new policy is from current date and in future entry.

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Last Answer : Also known as residual/salvage value. The value means below which depreciation cannot be applied or in simpler terms assets useful life is over.

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