How to Use the Diminishing Value Calculator

This calculator helps you determine the value of an asset over time using different depreciation methods. Here’s how to use it:

Click the Calculate button to see a detailed depreciation schedule and a visual graph of your asset’s value over time.

You can also export the results to a CSV file by clicking the Save/Export Results button.

For more information on depreciation methods, visit this guide on depreciation.

Choose how the asset depreciates over time. Diminishing Balance reduces value by a percentage of the remaining balance, while Straight-Line reduces it by a fixed amount each period.

Select the currency symbol to display in your results.

Enter the starting value or purchase price of the asset.

Enter the depreciation rate as a percentage (e.g., 20 for 20%).

Enter the total number of periods (e.g., years or months) over which to calculate depreciation.

Frequently Asked Questions

What is the Diminishing Balance Method?

The Diminishing Balance method calculates depreciation as a fixed percentage of the asset’s current book value, resulting in higher depreciation in the early periods.

What is the Straight-Line Method?

The Straight-Line method depreciates the asset by an equal amount each period, spreading the cost evenly over its useful life.

Which Depreciation Method Should I Use?

The choice depends on how the asset loses value over time. Use Diminishing Balance for assets that lose value quickly, and Straight-Line for assets that wear out evenly over time.

Can I Export the Results?

Yes, after calculating, click the Save/Export Results button to download the depreciation schedule as a CSV file.

Diminishing Value Calculator
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