Financial
SLN function: calculate annual straight-line depreciation after salvage value
Spread fixed-asset cost minus salvage value evenly across useful life periods with SLN.
Depreciate only the net depreciable base (cost minus salvage)
Under straight-line accounting, an asset loses an equal dollar amount in every full period of its useful life until reaching residual salvage value: SLN(cost, salvage, life) = (cost - salvage) / life.
A $42,000 delivery van with a $6,000 residual resale value and a 6-year useful life depreciates ($42,000 - $6,000) / 6 = $6,000 per year.
| AssetField (A) | Value (B) |
|---|---|
| Purchase Cost | 42000 |
| Salvage Value | 6000 |
| Useful Life (Years) | 6 |
Annual vs monthly straight-line expense
For monthly schedules, either pass life in months (72) or divide annual SLN by 12 ($500/month).
=SLN(B1, B2, B3)Zero useful life returns #DIV/0!
If life is 0, SLN divides by zero and returns #DIV/0!. If salvage equals cost, annual depreciation is cleanly 0.
=SLN(B1, B2, 0)Try the example
Use the original values or change them to test your understanding.