文档介绍：Different Methods of Depreciation Calculation
Depreciation Calculation Methods
Various depreciation calculation methods are mentioned below:
i.  Base Method
ii. Declining Balance Method
iii. Maximum Amount Method
iv. Multi Level Method
v. Period Control Method
 
i.     Base Method
Base Method- SPRO> IMG> Financial Accounting (New)> Asset Accounting>Depreciation> Valuation Methods> Depreciation Key> Calculation Methods>Define Base Methods
Base method primarily specifies:
The Type of depreciation  (Ordinary/ Special Depreciation)
Depreciation Method used (Straight Line/ Written Down value Method)
Treatment of the depreciation at the end of Planned useful life of asset or when Book value of asset is zero (Explained in detail later in other related transactions ).
 
Straight Line Method (SLM)
This is the simple method of depreciation.
It charges equal amount of depreciation each year over useful life of asset.
It first add up all the costs incurred to bring the asset in use and then it divides that by the useful life of asset in years to calculate the depreciation expense.
.: Say puter costs Rs. 30,000 and Rs. 11,000 (as additional set-up/installation/maintenance expenses) = Rs 41,000 and it is anticipated that its scrap value will be Rs. 1,000 at the end of its useful life, of say, 5 yrs.
 
Total Cost = Cost puter + Installation Exp. + Other Direct Costs