Dynamic depreciation formula

David W 123

New Member
Joined
May 14, 2020
Messages
9
Office Version
  1. 2019
  2. 2016
Platform
  1. Windows
Hi everyone.

I have a list of assets (many thousand) with different purchase dates. I would like the cost to be depreciated over 4 months in line with the lower table (% varies by month) and I already have a formula which works well for assets 1 and 2 in the table. However is there a formula which adjusts for number of days, so that for asset 3 (purchased 8 March) : March would be ~23 days of the 40% cost, and April would be ~8 days of the 40% cost and ~23 days of the 30% cost?

Book1
BCDEFGHIJKLMNOPQ
3AssetCostPurchase dateJan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21
41500,00001-Feb-210200,000150,000100,00050,0000000000
52600,00001-Mar-2100240,000180,000120,00060,000000000
63800,00008-Mar-21000320,000240,000160,00080,00000000
7
8Cost allocation phasing
9Month 1Month 2Month 3Month 4
1040%30%20%10%
Sheet1
Cell Formulas
RangeFormula
F4:Q6F4=$C4*IFERROR(INDEX($F$10:$I$10,DATEDIF($D4,F$3,"m")+1),0)


Many thanks for your time and help!
David
 

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Peter_SSs

MrExcel MVP, Moderator
Joined
May 28, 2005
Messages
48,457
Office Version
  1. 365
Platform
  1. Windows
See if this does what you want.

21 02 11.xlsm
BCDEFGHIJKLMNOPQ
3AssetCostPurchase dateJan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21
41500,00001-Feb-210200,000150,000100,00050,0000000000
52600,00001-Mar-2100240,000180,000120,00060,000000000
63800,00008-Mar-2100247,742240,000160,00080,00072,25800000
Depreciation
Cell Formulas
RangeFormula
F4:Q6F4=IF(COUNTIF($E4:E4,">0")=4,$C4-SUM($E4:E4),$C4*IFERROR(INDEX($F$10:$I$10,DATEDIF($D4-DAY($D4)+1,F$3,"m")+1),0)*IF(EOMONTH($D4,0)=EOMONTH(F$3,0),(DAY(EOMONTH($D4,0))-DAY($D4)+1)/DAY(EOMONTH($D4,0)),1))
 

David W 123

New Member
Joined
May 14, 2020
Messages
9
Office Version
  1. 2019
  2. 2016
Platform
  1. Windows
Many thanks for your time Peter - much appreciated!

This doesn't quite work. If an asset is purchased 8th March, I would want March to be 23 days of the 40%, and April to be the remainder 8 days of the 40% and 23 days of the 30%, with May being 8 days of the 30% and 23 days of the 20% and so on. Where as your solution results in the correct position for March, but the corrections don't arise until the final month.

Difficult to succinctly explain and conscious of your time. I think I've established a more manual calculation method, so happy for this to be left unless you can think of a swift fix.

Thanks again - David
 

Peter_SSs

MrExcel MVP, Moderator
Joined
May 28, 2005
Messages
48,457
Office Version
  1. 365
Platform
  1. Windows
This doesn't quite work.
Yes, I should have realised that. :oops:

See if this monster is better. Note the change to the lookup table in rows 9:10

21 02 11.xlsm
BCDEFGHIJKLMNOPQ
3AssetCostPurchase dateJan-21Feb-21Mar-21Apr-21May-21Jun-21Jul-21Aug-21Sep-21Oct-21Nov-21Dec-21
41500,00001-Feb-210200,000150,000100,00050,0000000000
52600,00001-Mar-2100240,000180,000120,00060,000000000
63800,00008-Mar-2100245,333260,473176,86099,26918,06500000
7
8
9Month 0Month 1Month 2Month 3Month 4Month 5
100%40%30%20%10%0%
Depreciation
Cell Formulas
RangeFormula
F4:Q6F4=IF(F$3-DAY(F$3)<$D4-DAY($D4),0,MIN($C4*INDEX($F$10:$K$10,MIN(COUNTIF($E4:E4,">0")+2,6))*(DAY(EOMONTH(G$3,0))-DAY($D4)+1)/DAY(EOMONTH(G$3,0))+$C4*INDEX($F$10:$K$10,COUNTIF($E4:E4,">0")+1)*(DAY($D4)-1)/DAY(EOMONTH(F$3,0)),$C4-SUM($E4:E4)))
 

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