Asset and depreciation schedule
The following figure is an illustration of an asset schedule and its various components:
Figure 7.8 – Full depreciation schedule
This is the full asset and depreciation schedule that should be prepared for each asset class. A description of the various parts of the asset schedule follows.
The first section contains the following information:
Figure 7.9 – First section of depreciation schedule
Here, we have several keywords, such as Depreciation Method and Asset Life. We will look at what they are for this particular schedule:
- Depreciation Method: In our case, it is the SLM.
- Asset Life: This is used to represent the useful life of the asset, which, in our case, is 10 years.
- Disposal of Assets: This section is for the proceeds of the sale of fixed assets, if any are present.
- Capex: This row shows how much was—and is projected to be—spent on fixed assets...