DEPRSL

The DEPRSL function calculates the depreciation expenses for a series of assets. DEPRSL uses the straight-line method to depreciate the assets over the specified lifetime of the assets. The starting and ending values are specified for the assets acquired in each time period.

Return Value

DECIMAL

Syntax

DEPRSL(start-exp end-exp n [{FULL|HALF| portion-exp} [time-dimension]])

Arguments

start-exp: A numeric expression that contains the starting values of the assets. The start-exp expression must be dimensioned by a time dimension. For each value of the time dimension, start-exp contains the initial value of the assets acquired during that time period. In addition to a time dimension, start-exp can also have non-time dimensions.
end-exp: A numeric expression that contains the ending values of the assets. The end-exp expression must be dimensioned by the same dimensions as start-exp. For each value of the time dimension, end-exp contains the final (or salvage) value for the assets acquired during that time period. Each value of start-exp must have a corresponding end-exp value. For example, when the assets acquired in 1995 have a salvage value of $200, then the value of end-exp for 1995 is $200.
n: An integer expression that contains the depreciation lifetime of the assets. The n expression can have any of the non-time dimensions of start-exp, but it cannot have a time dimension.
FULL: Specifies that the full amount of a time period's depreciation expense is charged to the time period in which assets were acquired. Charges the full amount to all of the assets in the series. (Default)
HALF: Specifies that half of the full amount of a time period's depreciation expense is charged to the time period in which assets were acquired. Charges half the full amount to all of the assets in the series. You might want to use HALF when assets are acquired during the second half of the time period.
portion-exp: When you want to charge the full amount for some assets and half the amount for other assets, you can supply a portion-exp expression that is dimensioned by any of the non-time dimensions of start-exp. The portion-exp expression must be a text expression with values of FULL or HALF.
time-dimension: The name of the time dimension by which start-exp and end-exp are dimensioned. When the time dimension has a type of DAY, WEEK, MONTH, QUARTER, or YEAR, the time-dimension argument is optional.

Notes

How Result Is Dimensioned

The result returned by DEPRSL is dimensioned by all the dimensions of start-exp.

Using Optional Arguments

When you include the optional time-dimension argument, you must also include the preceding optional argument (FULL or HALF or portion).

Depreciation for a Given Time Period

DEPRSL calculates the depreciation expense for a given time period as the sum of that period's depreciation expenses for all assets in the series that are not yet fully depreciated. The first period of depreciation for an asset is the period in which it was acquired.

The HALF Argument

When you specify HALF as the portion of depreciation expenses to charge to the period of acquisition, the HALF factor is applied to each period. Half of each period's full depreciation expense is rolled to the next period, and the final half period of depreciation takes place in the time period n + 1.

NA Mismatch Errors

When a value of start-exp is NA and the corresponding value of end-exp is not NA, an error occurs. Similarly, when a value of end-exp is NA and the corresponding value of start-exp is not NA, an error occurs.

NASKIP Option Settings

DEPRSL is affected by the NASKIP option when a value of start-exp and the corresponding value of end-exp are both NA. When NASKIP is YES (the default), DEPRSL treats the values as zeros when calculating the depreciation expenses. When NASKIP is NO, DEPRSL returns NA for all affected time periods.

Dimension Limits Ignored

The DEPRSL calculation begins with the first time dimension value, regardless of how the status of that dimension may be limited. For example, suppose start-exp is dimensioned by year, and the values of year, range from Yr95 to Yr99. The calculation always begins with Yr95, even when you limit the status of year, so that it does not include Yr95.

Related Functions

The DEPRDECL function, which uses the pure declining-balance method to calculate depreciation expenses; the DEPRDECLSW function, which uses a more widely used variation on the declining-balance method to calculate depreciation expenses; and the DEPRSOYD function, which uses the sums-of-years'-digits method to calculate depreciation expenses.

Examples

Example 11-6 Using DEPRSL to Calculate Depreciation Expenses for Assets Acquired in a Single Period

This example shows how to use DEPRSL to calculate depreciation expenses for assets acquired in a single time period.

The following statements create two variables called assets and salvage.

DEFINE assets DECIMAL <year>
DEFINE salvage DECIMAL <year>

Suppose you assign the following values to the variables assets and salvage.

YEAR               ASSETS    SALVAGE
-------------- ---------- ----------
Yr95             1,000.00     100.00
Yr96                 0.00       0.00
Yr97                 0.00       0.00
Yr98                 0.00       0.00
Yr99                 0.00       0.00
Yr00                 0.00       0.00

The variable assets contains the starting value of assets acquired in 1995. The variable salvage contains the ending value of the assets acquired in 1995.

The following statement reports the values of assets and salvage, and uses DEPRSL to calculate depreciation expenses for each year, specifying an asset lifetime of 5 years.

REPORT assets salvage W 12 HEADING 'Depreciation' -
   DEPRSL(assets salvage 5 FULL year)

This statement produces the following output.

YEAR               ASSETS    SALVAGE Depreciation
-------------- ---------- ---------- ------------
Yr95             1,000.00     100.00       180.00
Yr96                 0.00       0.00       180.00
Yr97                 0.00       0.00       180.00
Yr98                 0.00       0.00       180.00
Yr99                 0.00       0.00       180.00
Yr00                 0.00       0.00         0.00

Example 11-7 Using DEPRSL to Calculate the Depreciation Expenses for Assets Acquired in Multiple Periods

You can also use DEPRSL to calculate the depreciation expenses for a series of assets. Suppose you change the values for the year 1997 in the variables assets and salvage to the values shown in the following report.

YEAR               ASSETS    SALVAGE
-------------- ---------- ----------
Yr95             1,000.00     100.00
Yr96                 0.00       0.00
Yr97               500.00      50.00
Yr98                 0.00       0.00
Yr99                 0.00       0.00
Yr00                 0.00       0.00
Yr01                 0.00       0.00
Yr02                 0.00       0.00

Now assets and salvage contain nonzero values for 1995 and for 1997.

The following statement reports asset and salvage values along with depreciation expenses for the assets. Note that the call to DEPRSL to calculate the depreciation expenses specifies an asset lifetime of 5 periods (in this case, years).

REPORT assets salvage W 12 HEADING 'Depreciation' -
    DEPRSL(assets salvage 5 FULL year)

This statement produces the following report.

YEAR              ASSETS        SALVAGE         Depreciation
-------------- ---------- ------------- --------------------
Yr95             1,000.00       100.00                180.00
Yr96                 0.00         0.00                180.00
Yr97               500.00        50.00                270.00
Yr98                 0.00         0.00                270.00
Yr99                 0.00         0.00                270.00
Yr00                 0.00         0.00                 90.00
Yr01                 0.00         0.00                 90.00
Yr02                 0.00         0.00                  0.00

The assets acquired in 1995 were fully depreciated in 1999. Therefore, for 2000 and 2001, DEPRSL returns a figure that includes the depreciation expense for the assets acquired in 1997 only.