Q: ANO naman yung mga PPE na nagde-DEPRECIATE?

(DEPRECIATE= means lumiliit ang value habang tumatagal)

ANS:

2. Building (alam niyo na ito)

3. Machinery and Equipment (Ex. Computer, Aircon, etc)

4. Furniture & Fixtures (Ex. Table, Chair, Wall decorations, etc)

Ano naman ang "ACCUMULATED DEPRECIATION"?

Example na lang natin yung BUILDING ng school niyo. Kunwari, 10 years ang buhay niya.

BUILDING:

Cost: P100

Life: 10 years

P100 / 10 years = P10* (Depreciation or pagliit ng value)

End of:
Year 1 100-10*=90 (remaining value)

Year 2 90-10*=80

Year 3 80-10*=70

Year 4 70-10*=60

Year 5 60-10*=50

Year 6 50-10*=40

Year 7 40-10*=30

Year 8 30-10*=20

Year 9 20-10*=10

Year 10 10-10*=0 (remaining value)

I hope, nasundan niyo.

Kung napansin mo, naubos or naging zero ang value sa Year 10.
Kaya ang tawag na sa BUILDING ay "FULLY DEPRECIATED". Or simply, wala nang value.

Question:

Nasaan yung "Accumulated Depreciation".

Answer:

Ito yung naipon or "na-aacumulate" na pagbaba ng value

*Hindi namin ipapaliwang ang susunod(kasi ang gusto namin ay kayo ang mag-ANALYZE)

End of

YEAR 1 Accumulated Depreciation = 10

(P100-90)

YEAR 2 Accumulated Depreciation = 20

(100-80) or (10+10)

YEAR 3 Accumulated Depreciation = 30

(100-70) or (10+10+10)
YEAR 4 Accumulated Depreciation = 40

(100-60) or (10+10+10+10)

YEAR 5 Accumulated Depreciation = 50

YEAR 6 Accumulated Depreciation = 60

YEAR 7 Accumulated Depreciation = 70

YEAR 8 Accumulated Depreciation = 80

YEAR 9 Accumulated Depreciation = 90

YEAR 10 Accumulated Depreciation = 100