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Financial function

SLN

Returns straight-line depreciation for one period.

CommonDifficulty 1200 · ProficientUsage rank #164 of 520
Practice · 3 questions →

When to use it

Straight-line depreciation: the same amount every period.

The shape of it

Syntax
=SLN(cost, salvage, life)

Worked examples

  • Annual charge

    =SLN(30000,5000,5) 5,000

    A 30,000 asset with 5,000 salvage over five years.

  • Fully depreciated

    =SLN(1200,0,3) 400

    No salvage value.

  • From cells

    =SLN(A2,B2,C2) 2,750

    Cost, salvage, and life from cells.

Worth knowing

  • Monthly charge: SLN(cost,salvage,years)/12.
  • Book value after n years: cost - n × SLN.
  • DB, DDB, SYD, and VDB front-load depreciation.

Where it goes wrong

  • A life of 0 returns #DIV/0!.
  • Salvage above cost gives a negative charge.

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