sum-of-the-years’-digits depreciation method

sum-of-the-years’-digits depreciation method

A method of calculating the annual depreciation allowance by multiplying the depreciable cost basis (cost minus salvage value) by a constantly decreasing fraction, which is represented by the remaining years of useful life at the beginning of each year divided by the total number of years of useful life at the time of acquisition. ¡ª Sometimes shortened to SYD method.
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