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

Revision as of 16:51, 12 September 2008

AMORDEGRC

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

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

Syntax:

AMORDEGRC(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 as degressive amortization, as used in French accounting systems.

The life time t of the asset is 1/rate. A depreciation factor f is given by:

0 < = t < 3  : f=1.0

3 <= t < 5  : f=1.5

5 <= t < 6  : f=2.0

t >= 6     : f=2.5

Depreciation for a period is calculated as:

period 0: cost*rate*YEARFRAC(purchase_date;first_period_end;basis)

period 1 to t-3 : rate * f * previous_period_depreciation

period t-2 : 0.5 * previous_period_depreciation

period t-1 : depreciation_in_period_t-2

period >= t : 0

Example:

AMORDEGRC(1000; ”2006-02-01”; ”2006-12-31”; 10; 0; 0.1; 1)

returns 228.

See also:

AMORLINC

DB, DDB, SLN, SYD, VDB

YEARFRAC

Financial date systems

Financial functions

All functions: alphabetically, by category