The factors that affect the depreciation of fixed assets include the original value, net salvage value, service life and depreciation method of fixed assets. However, it should be noted that enterprises should reasonably determine the expected service life and expected net salvage value of fixed assets, and choose a reasonable depreciation method, which will be used as the basis for depreciation after being approved by the shareholders' meeting or the board of directors, the manager (director) meeting or similar institutions. Once the above methods are determined, they shall not be changed at will.
Problems needing attention in extracting depreciation of fixed assets
(1) If the fixed assets that have reached the scheduled usable state are settled during the year, the original provisional appraisal value will be adjusted according to the actual cost, and the depreciation amount will be adjusted to the current month's cost. (2) If the final accounts are not completed within the year, it shall be accounted for according to the estimated value and depreciated; After going through the formalities of final accounts for completion, adjust the original provisional valuation value, the original depreciation amount and the retained earnings at the beginning of the year according to the actual cost. (3) Where an enterprise adjusts the value of fixed assets due to renovation and other reasons, it shall accrue depreciation according to the adjusted value, estimated useful life and net salvage value, and the depreciation method selected by the enterprise. (4) The book value of donated old fixed assets and surplus fixed assets shall be deducted from the estimated depreciation.
According to the current accounting system, when an enterprise makes depreciation in the current month, it should be based on the original value of the fixed assets that should be depreciated at the beginning of the month. For the fixed assets added in the current month, depreciation is not allowed in the current month, that is, the fixed assets added in this month are not allowed to be depreciated this month, but will be depreciated next month: the fixed assets reduced in the current month are depreciated this month, that is, the fixed assets reduced this month are not allowed to be depreciated this month, and depreciation will stop next month.