Cost

Life
S.L.
Tax Rate
Tax Depr
Years

$ 12,675.00
5
$ 2,535.00
41%
35%

35%

30%

Revenue
Depr
Pre-Tax
Tax @ 41%
N/Income

1
Fin Rpt
$
7,192.00
2,535.00
4,657.00
1,909.37
2,747.63

$
7,192.00
2,535.00
4,657.00
1,909.37
2,747.63

$
7,192.00
2,535.00
4,657.00
1,909.37
2,747.63

Revenue
Depr
Pre-Tax
Tax @ 41%
N/Income

Tax Rpt
7,192.00
4,436.25
2,755.75
1,129.86
1,625.89

7,192.00
4,436.25
2,755.75
1,129.86
1,625.89

7,192.00
3,802.50
3,389.50
1,389.70
1,999.81

DTL @ 41%
DTL @ 31%

779.51
589.39

779.51
589.39

Difference to be adjusted in Net Income

519.68
392.93

Total
2,078.70
1,571.70
507.00

Method 2
Carry Amt
Cost
12,675.00
Accum Dep
7,605.00 (i.e $12,675/5*3)
NBV
5,070.00

Cost
Accum Dep
NBV
Diff
DTL @ 41%
DTL @ 31%

Tax Base
12,675.00
12,675.00 Sum of ($12,675*35%+$12,675*35%+$12,675*30%)
0.00
5,070.00
2,078.70
1,571.70
507.00