Depreciation and stakeholders
Đã giới thiệu| English | Ý nghĩa |
|---|---|
| depreciation/dɪˌpriːʃɪˈeɪʃn/ | Khấu hao |
| non-current asset/nɒn ˈkʌrənt ˈæset/ | Tài sản không lưu động |
| useful life/ˈjuːsfl laɪf/ | Tuổi thọ hữu ích |
| straight-line/streɪt laɪn/ | Phương pháp đường thẳng |
| residual value/rɪˈsɪdʒuːəl ˈvæljuː/ | Giá trị残值 (giá trị còn lại) |
| stakeholders/ˈsteɪkhəʊldəz/ | Các bên liên quan |
Why a new van is worth less next year
- Buy a delivery van for 30,000 and in five years it's worth a fraction of that. The accounts must reflect this fall.
- That gradual loss of value is depreciation 贬值.
Stakeholder interest lab
See how different stakeholders judge the same business decision.
Depreciation spreads the cost of a:
Độ khó 1/5 · 100 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
Depreciation applies to long-lived non-current assets.
What depreciation is
- Depreciation spreads the cost of a non-current asset 非流动资产 over its useful life 使用寿命.
- It matches the asset's cost to the years that benefit from it, rather than all in year one.
Straight-line 直线法 depreciation lowers the asset value by the same amount each year
An asset costs 50,000, has a residual value of 5,000 and a life of 9 years. What is the annual straight-line depreciation?
Độ khó 2/5 · 140 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
(50,000 − 5,000) ÷ 9 = 45,000 ÷ 9 = 5,000.
The depreciation method charging an equal amount each year is the ______-line method.
Độ khó 1/5 · 100 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
Straight-line = (cost − residual) ÷ life.
The straight-line method
- Straight-line depreciation = (cost − residual value 残值) ÷ useful life.
- It charges the same amount each year.
Worked example. A machine costs 20,000, has a residual value of 2,000 and a useful life of 6 years. Annual depreciation = (20,000 − 2,000) ÷ 6 = 3,000 per year.
Depreciation is a cash outflow in each year of the asset's life.
Độ khó 1/5 · 100 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
False. The cash left the business when the asset was bought. Depreciation spreads that cost as a non-cash charge that reduces profit but not cash.
A bank deciding whether to lend will look at the accounts mainly to judge:
Độ khó 1/5 · 100 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
Lenders assess repayment ability and gearing.
Stakeholders 利益相关者 and the accounts
- Different stakeholders read the accounts for different reasons:
- Shareholders check profit; lenders check ability to repay; managers plan; employees judge security; government assesses tax.
Depreciation is a cost, not a cash outflow. It reduces profit on the income statement, but no cash actually leaves the business that year — the cash went out when the asset was bought.
You've got it
- depreciation spreads a non-current asset's cost over its useful life
- straight-line = (cost − residual value) ÷ useful life — equal each year
- many stakeholders read the accounts for different purposes; depreciation is a non-cash cost
Write from annual depreciation of 4000
- An asset costs 24000, has a residual value of 4000 and a useful life of 5 years.
- Find the straight-line depreciation per year.
An asset costs 24000, has a residual value of 4000 and a useful life of 5 years. What is the annual straight-line depreciation?
20000 of depreciable cost over 5 years is 4000 a year.
What is the annual straight-line depreciation?
Độ khó 1/5 · 100 xu + một phần thưởng nhỏ cho lần hoàn thành đầu tiên trong ngày
Cost minus residual value, divided by life, is 4000. Other options — 5000 (the lesson yearly charge); 24000 (the whole cost charged in year one).