AssetAccountant can be relied upon for accurate calculations.


We often get asked about DV200 depreciation method for accounts calculations.


DV200% (for accounts) works like this:


The rate is worked out as 200% / Effective Life in years - eg 200% / 5 years = 40%.


This rate is then applied to the difference between the written down value and the residual value at the start of any financial year - eg 40% * ($10,000 - $3,000 = $7,000) = $2,800


This annual depreciation amount is then apportioned across the periods in the year, either in 12 equal parts or as (days in month) / (days in year) depending on the option you set in Register Settings.


At the end of the year, the process 'resets' and the next year's depreciation would be based on 40% * ($7,200 - $3,000 = $4,200) = $1,680.