Accumulated Depreciation Calculator

Accumulated depreciation is the running total of all depreciation expense recorded for an asset since it was placed in service. Under straight-line depreciation, each year's expense is (Cost − Salvage Value) ÷ Useful Life, so accumulated depreciation after N years is simply that annual amount × N (capped at Cost − Salvage Value).

Book value = Original Cost − Accumulated Depreciation. It's the asset's remaining value on the balance sheet, and it can never fall below the salvage (residual) value under straight-line depreciation.

Straight-line spreads the depreciable cost evenly over the useful life. Double-declining-balance (an accelerated method) applies double the straight-line rate to the asset's remaining book value each year, so more depreciation is recorded in early years and less in later years — book value still can't fall below salvage value.

No — depreciation is a non-cash accounting expense that allocates an asset's cost over its useful life. It reduces reported book value and taxable income (subject to tax rules), but doesn't involve any actual cash outflow itself.