How to include salvage value while calculating depreciation
My actual cost is 10000 and salvage value is 500,so my net recoverable cost becomes 9500. but when I calculate my depreciation it should calculate based on orginal cost which is
10000 and not the recoverable cost which is 9500(after I enter 500 in the salvage value).
ours is a straight line depreciation and divide depreciation is by days.
In the depreciation method I have defined method type as Flat and Calculation basis as cost , Depreciable Basis rule as Use recoverable cost.The Box exclude salvage value is unchecked.