Mid Month
Under the mid month convention the depreciation would be a half month in the month placed in service
| Asset in Service | Cost less Salvage value | Depreciation Convention | Deprecation Method | Monthly depreciation | Mod month convention |
|---|---|---|---|---|---|
12-31-2020 | 120 | Mid - month | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 1 dollar in December 2020 |
12-3-2020 | 120 | Mid - month | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 1 dollar in December 2020 |
12-31-2020 | 120 | Half year | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 12 dollars in December 2020 |
1-1-2020 | 120 | Half year | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 1.71 dollar per month thru 2020 2 dollars per month x 6 months = 12 dollars 12 divided by 7 = 1.71 |
| 5-1-2020 | 120 | Half year | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | |
12-31-2020 | 120 | Mid Quarter | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 3 dollars in December 2020 (one full month and 1/2 month |
11-30-2020 | 120 | Mid Quarter | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 1.5 dollars in November 2020 1.5 dollars in December 2020 (one full month and 1/2 month |
10-15-2020 | 120 | Mid Quarter | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | 1 dollars in October 2020 1 dollars in November 2020 1 dollars in December 2020 (one full month and 1/2 month |
| 1-1-2020 | 120 | Actual Days | Straight line 5 | 2 =(120*.2 /12) Cost = 140 Salvage value=20 Annual percentage =.2 (from Depreciation method percent) 12= 12 months | .94 Dollars in January 2020 (note that the day placed in service is not counted 2*(30/31) |
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