Difference between revisions of "Documentation/How Tos/Calc: AMORLINC function"

Latest revision as of 15:05, 30 January 2024

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AMORLINC

Returns depreciation for a period using linear depreciation (French system).

This function is only available if the Analysis AddIn is installed.

Syntax:

AMORLINC(cost; purchase_date; first_period_end; salvage; period; rate; basis)

cost: the acquisition cost.

purchase_date: the date of acquisition.

first_period_end: the end date of the first depreciation period.

salvage: the salvage value at the end of life.

period: the period for which to calculate depreciation. 0 is the initial period (from purchase_date to first_period_end).

rate: the rate of depreciation.

basis: is chosen from a list of options and indicates how the year is to be calculated. Defaults to 0 if omitted.

0 - US method (NASD), 12 months of 30 days each

1 - Exact number of days in months, exact number of days in year

2 - Exact number of days in month, year has 360 days

3 - Exact number of days in month, year has 365 days

4 - European method, 12 months of 30 days each

Calculates the amount of depreciation for a period, using a linear depreciation method, as in French accounting systems.

The book life time of the asset is 1/rate, which is an initial fractional period up to the first period end, then a number of full periods, then a fractional period to the end of the asset's life.

The depreciation in the initial period 0 (the period (from purchase_date to first_period_end) is calculated proportionately and is given by:

cost*rate*YEARFRAC(purchase_date;first_period_end;basis).

The depreciation in subsequent whole periods is given by:

cost*rate.

In the final (fractional) period of the life time, the depreciation reduces the remaining book value of the asset to salvage; in other words it is:

cost - salvage - total_depreciation_charged_so_far.

AMORLINC returns 0 after this.

Example:

AMORLINC(1000; "2004-02-01"; "2004-12-31"; 10; 8; 0.1; 1)

returns 100.

Issues:

Calc and Excel calculate differently when the date of purchase is the end of a period. Excel regards the initial period 0 as the first full period. Calc (it is believed correctly) regards the initial period 0 as of zero length, and thus correctly returns zero depreciation. Example: AMORLINC(1000;"2008-12-31";"2008-12-31";100;0;0.25;1) returns 0 in Calc and 250 in Excel. In this example, the final fractional period (giving 150 depreciation) is period 3 in Excel and period 4 in Calc.

See Also

AMORDEGRC

YEARFRAC

Financial date systems

Financial functions

@@ Line 1: / Line 1: @@
-__NOTOC__
+{{DISPLAYTITLE: AMORLINC function}}
+{{Documentation/CalcFunc FinancialTOC
+|ShowPrevNext=block
+|PrevPage=Documentation/How_Tos/Calc:_AMORDEGRC_function
+|NextPage=Documentation/How_Tos/Calc:_DB_function
+}}__NOTOC__
 == AMORLINC ==
-Returns depreciation for a settlement period as linear amortization.
+Returns depreciation for a period using linear depreciation (French system).
 This function is only available if the '''Analysis AddIn''' is installed.
 === Syntax: ===
-<tt>'''AMORLINC(cost; date_purchased; first_period; salvage; period; rate; basis)'''</tt>
+<tt>'''AMORLINC(cost; purchase_date; first_period_end; salvage; period; rate; basis)'''</tt>
-: Calculates the amount of depreciation for a settlement period as linear amortization. If the capital asset is purchased during the settlement period, the proportional amount of depreciation is considered.
+: <tt>'''cost'''</tt>: the acquisition cost.
+: <tt>'''purchase_date'''</tt>: the date of acquisition.
-: <tt>'''cost'''</tt>: the acquisition costs.
+: <tt>'''first_period_end'''</tt>:  the end date of the first depreciation period.
-: <tt>'''date_purchased'''</tt>: the date of acquisition.
+: <tt>'''salvage'''</tt>:  the salvage value at the end of life.
-: <tt>'''first_period'''</tt>: the end date of the first settlement period.
+: <tt>'''period'''</tt>: the period for which to calculate depreciation. 0 is the initial period (from <tt>'''purchase_date'''</tt> to <tt>'''first_period_end'''</tt>).
-: <tt>'''salvage'''</tt>: the salvage value of the capital asset at the end of the depreciable life.
-: <tt>'''period'''</tt>: the settlement period to be considered.
 : <tt>'''rate'''</tt>: the rate of depreciation.
 : <tt>'''basis'''</tt>: is chosen from a list of options and indicates how the year is to be calculated. Defaults to <tt>'''0'''</tt> if omitted.
@@ Line 23: / Line 26: @@
 :: 3 - Exact number of days in month, year has 365 days
 :: 4 - European method, 12 months of 30 days each
+: Calculates the amount of depreciation for a period, using a linear depreciation method, as in French accounting systems.
+: The book life time of the asset is 1/<tt>'''rate'''</tt>, which is an initial fractional period up to the first period end, then a number of full periods, then a fractional period to the end of the asset's life.
+: The depreciation in the initial period 0 (the period (from <tt>'''purchase_date'''</tt> to <tt>'''first_period_end'''</tt>) is calculated proportionately and is given by:
+:: <tt>'''cost'''</tt>*<tt>'''rate'''</tt>*<tt>'''YEARFRAC(purchase_date;first_period_end;basis)'''</tt>.
+: The depreciation in subsequent '''whole''' periods is given by:
+:: <tt>'''cost'''</tt>*<tt>'''rate'''</tt>.
+: In the final (fractional) period of the life time, the depreciation reduces the remaining book value of the asset to <tt>'''salvage'''</tt>; in other words it is:
+:: <tt>'''cost'''</tt> - <tt>'''salvage'''</tt> - <tt>'''total_depreciation_charged_so_far'''</tt>.
+: <tt>'''AMORLINC'''</tt> returns <tt>'''0'''</tt> after this.
 === Example: ===
@@ Line 28: / Line 46: @@
 :  returns <tt>'''100'''</tt>.
-=== See also: ===
+=== Issues: ===
-[[Documentation/How_Tos/Calc: AMORDEGRC function|'''AMORDEGRC''']]
+* Calc and Excel calculate differently when the date of purchase is the end of a period. Excel regards the initial period 0 as the first full period. Calc (it is believed correctly) regards the initial period 0 as of zero length, and thus correctly returns zero depreciation. Example: <tt>'''AMORLINC(1000;"2008-12-31";"2008-12-31";100;0;0.25;1)'''</tt> returns <tt>'''0'''</tt> in Calc and <tt>'''250'''</tt> in Excel. In this example, the final fractional period (giving <tt>'''150'''</tt> depreciation) is period 3 in Excel and period 4 in Calc.
+{{SeeAlso|EN|
+* [[Documentation/How_Tos/Calc: AMORDEGRC function|AMORDEGRC]]
+* [[Documentation/How_Tos/Calc: DB function|DB]]
+* [[Documentation/How_Tos/Calc: DDB function|DDB]]
+* [[Documentation/How_Tos/Calc: SLN function|SLN]]
+* [[Documentation/How_Tos/Calc: SYD function|SYD]]
+* [[Documentation/How_Tos/Calc: VDB function|VDB]]
+* [[Documentation/How_Tos/Calc: YEARFRAC function|YEARFRAC]]
-[[Documentation/How_Tos/Calc: DB function|'''DB''']],
+* [[Documentation/How_Tos/Calc: Date & Time functions#Financial date systems|Financial date systems]]
-[[Documentation/How_Tos/Calc: DDB function|'''DDB''']],
-[[Documentation/How_Tos/Calc: SLN function|'''SLN''']],
-[[Documentation/How_Tos/Calc: SYD function|'''SYD''']],
-[[Documentation/How_Tos/Calc: VDB function|'''VDB''']]
-[[Documentation/How_Tos/Calc: Date & Time functions#Financial date systems|'''Financial date systems''']]
+* [[Documentation/How_Tos/Calc: Financial functions|Financial functions]]
-[[Documentation/How_Tos/Calc: Financial functions|'''Financial functions''']]
+* [[Documentation/How_Tos/Calc: Functions listed alphabetically|Functions listed alphabetically]]
+* [[Documentation/How_Tos/Calc: Functions listed by category|Functions listed by category]]}}
+[[Category: Documentation/Reference/Calc/Financial functions]]

Difference between revisions of "Documentation/How Tos/Calc: AMORLINC function"

Latest revision as of 15:05, 30 January 2024

AMORLINC

Syntax:

Example:

Issues:

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