Here are the formulas used to calculate property depreciation in the given scenario:

1. Yearly Depreciation

Yearly depreciation is the amount of property value lost each year due to depreciation. It is calculated as:Yearly Depreciation=Initial Property Value−Salvage ValueUseful Life (Years)\text{Yearly Depreciation} = \frac{\text{Initial Property Value} – \text{Salvage Value}}{\text{Useful Life (Years)}}Yearly Depreciation=Useful Life (Years)Initial Property Value−Salvage Value​

2. Total Depreciation

Total depreciation over a specific number of years is calculated as:Total Depreciation=Yearly Depreciation×Years\text{Total Depreciation} = \text{Yearly Depreciation} \times \text{Years}Total Depreciation=Yearly Depreciation×Years

3. Remaining Property Value

The remaining value of the property after a specific number of years is:Remaining Property Value=Initial Property Value−Total Depreciation\text{Remaining Property Value} = \text{Initial Property Value} – \text{Total Depreciation}Remaining Property Value=Initial Property Value−Total Depreciation

Example Explanation:

• Initial Property Value: The purchase value or starting value of the property.
• Salvage Value: The expected residual value of the property after the depreciation period.
• Useful Life (Years): The total years the property is expected to depreciate (e.g., 30 years).
• Years: The specific period for which depreciation is being calculated.

If a depreciation rate (%) is used instead of dividing by useful life:.

Yearly Depreciation=(Initial Property Value−Salvage Value)×100Depreciation Rate​

This approach allows you to adjust the depreciation percentage dynamically based on specific requirements.