<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/tf/onlinemanual/000301" xml:lang="en">
	<Header>
		<Title xmlns:ssa="http://www.ssaglobal.com" xmlns:HTML="http://www.w3.org/TR/REC-html40">Calculating NBV-oriented depreciation</Title>
		<Keyword><Level1>depreciation</Level1>
			<Level2>nvb-oriented</Level2>
		</Keyword>
		<Keyword><Level1>net book-value oriented depreciation</Level1>
		</Keyword>
	</Header>
	<GeneralSection><Paragraph>The Net book-value (NBV) oriented depreciation method is a variant of the declining balance depreciation method based on European requirements.</Paragraph>
		<Paragraph>In this method, the declining balance percentage is always set for a period of one year. The formula that is used to calculate NBV-oriented depreciation is as follows:</Paragraph>
		<Paragraph>depreciation amount = net book value * declining percentage / 100</Paragraph>
		<Paragraph>When you define this depreciation method, you must enter a depreciation percentage of less than 100%.</Paragraph>
	</GeneralSection>
</ManualTopic>
