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SLN function in Excel

Use

SLN function uses the straight-line depreciation method to find out the depreciation of an asset for one period. It is the Financial function and calculates the depreciation based on initial cost, salvage value and useful life of the asset.

Syntax

=SLN(cost, salvage, life)

The SLN function has the following arguments:

cost – Required. The initial cost to purchase the asset.

salvage value – Required. The remaining value of the asset when it will be fully depreciated.

life – Required. The useful life of the asset over which it is depreciated.

Example

Suppose, you purchase a machine with an initial cost of $10,000, which has a useful life of 10 years and a salvage value of $1,000.

Formula:

Result. The asset with the above terms has the straight-line depreciation of $900.

In a similar way, the depreciation for the remaining years will be:

Function Errors

Error Occurs
#DIV/0! If supplied life argument is equal to zero.
#VALUE! If any supplied argument is non-numeric.

Related Functions

DDB function calculates depreciation of an asset by using the Double Declining (DDB) Method or another method specified by the user.

SYD function returns the sum-of-years’ digits depreciation of an asset for a specific period.

VDB function calculates the depreciation of an asset, for a specified given period, by using any selected depreciation method, such as the double declining balance method etc.

DB function calculates depreciation of an asset by using the fixed-declining balance method over the useful life of the asset. 

AMORLINC function calculates depreciation of an asset, on a prorated basis, for a specified accounting period.

AMORDEGRC Function returns the depreciation of an asset for each accounting period till a useful life of an asset. 




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