# In column d the formula ifa12sumb12b12 looks

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Unformatted text preview: 00, a salvage value of \$300, and a life of 120 months, the formula is =SLN(2400,300,120). Because straight-line depreciation is simple math the formula can be manually entered as =(2400-300)/120. Both will result in approximately \$17.50 per month. The way that the Straight-Line worksheet works is the formulas is column A checks to see if depreciation periods are still available through the formula =IF(COUNT(\$A\$12:A12)>=\$B\$5,"", A12+1). If there are available periods, the formula increments the previous value by 1. If no periods are available the null value – “”, is put into the cell. Note: The “Null” value is not a space or character. It is actually “Nothing”, This formula basically says, if there are no periods available, return “Nothing.” The null value is addressed in its own section of this book. The formula in column B of the matrix, =IF(A12="","",SLN(\$B\$2,\$B\$4,\$B\$5)), looks at column A and if it “sees” the null value (“”) is there. If it is, this formula places a null value in the cell. A null value just gives you a clean presentation for “no relevant data.” If the null value is not in column A, the SLN formula calculates period depreciation. In column D the formula =IF(A12="","",SUM(\$B\$12:B12)) looks at column A for the null value and gives a clean cell response if there are no depreciation periods available. If there periods available, this formula sums all of the period depreciation to date for accumulated depreciation. The formula in column E, =IF(A12="","",\$B\$2-C12), looks at column A and gives a clean, clear cell if it finds the null value since there are no depreciation periods available. It then subtracts accumulated depreciation to date from depreciable acquisition cost for end of period book value. The other periodicity options for straight-line depreciation utilize the same concepts for presentation. Declining-Balance Depreciation Excel handles declining balance depreciation t...
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