Methods Of Providing Depreciation

There are various methods of calculating the amount of depreciation. These methods are listed below.

1. Fixed Installment Method Of Providing Depreciation

2. Diminishing Balance Method Of Providing Depreciation

3. Annuity Method Of Providing Depreciation

4. Depreciation Fund Method

5. Insurance Policy Method

6. Revaluation Method

7. Machine Hour Rate Method Of Providing Depreciation

8. Sum Of The Year's Digits Method Of Providing Depreciation

Fixed installment method and diminishing balance method are most commonly used methods of providing depreciation.