Depletion Expense Solution

STEP 0: Pre-Calculation Summary
Formula Used
Depletion Expense = Depletion Charge per Unit*Units Consumed
DE = DCUnit*UC
This formula uses 3 Variables
Variables Used
Depletion Expense - Depletion expense is a charge against profits for the use of natural resources.
Depletion Charge per Unit - The depletion charge per unit is calculated by taking the total cost less salvage value and dividing it by the total number of estimated units.
Units Consumed - Units Consumed represents the total units consumed in depletion.
STEP 1: Convert Input(s) to Base Unit
Depletion Charge per Unit: 36 --> No Conversion Required
Units Consumed: 20 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
DE = DCUnit*UC --> 36*20
Evaluating ... ...
DE = 720
STEP 3: Convert Result to Output's Unit
720 --> No Conversion Required
FINAL ANSWER
720 <-- Depletion Expense
(Calculation completed in 00.004 seconds)

Credits

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23 Financial Accounting Calculators

DuPont Analysis
Go Return on Equity = (Net Income/Revenue)*(Revenue/Average Total Assets)*(Average Total Assets/Average Total Equity)
Internal Rate of Return
Go Net Present Value (NPV) = sum(x,0,Number of Periods,((Cashflow at End Period/(1+Internal Rate of Return)^x)))-Initial Investment
Discount Lost
Go Discount Lost = (Discount in Percentage/(100-Discount in Percentage))*(365/(Final Payment Date-Last Discount Date))
Net Operating Cycle
Go Net Operating Cycle = ((365/Purchases)*Average Inventory)+((365/Net Receivables)*Average Accounts Receivables)
Annual Equivalent Cost
Go Annual Equivalent Cost = (Asset Price*Discount Rate)/(1-(1+Discount Rate)^-Number of Periods)
Net Present Value
Go Net Present Value (NPV) = sum(x,1,Time period,(Cash Flow/(1+Internal Rate of Return)^x))
Annual Percentage Yield
Go Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1
Effective Yield
Go Effective Yield = 1+(Nominal Rate/Number of Payments Per Year)^(Number of Payments Per Year)-1
Depletion Charge per Unit
Go Depletion Charge per Unit = (Original Cost-Residual Value)/Total Number of Units Depletion
Value of Stock
Go Value of Stock = Expected Dividend Per Share/(Cost of Capital Equity-Dividend Growth Rate)
EBITDA
Go EBITDA = Earnings Before Interest and Taxes+Depreciation+Amortization
Shareholders' Equity given Share Capital, Retained Earnings and Treasury Shares
Go Total Shareholders' Equity = Share Capital+Retained Earnings-Treasury Shares
Operating Cash Flow
Go Operating Cash Flow = Earnings Before Interest and Taxes+Depreciation-Taxes
Discount Percentage
Go Discount Percentage = ((List Price-Price Paid)/Price Paid)*100
Residual Value
Go Residual Value = (Cost of fixed asset-Scrap Rate)/Lifespan
Long term Debt to Equity ratio
Go Long Term Debt to Equity Ratio = Long Term Debt/Shareholders Fund
EBIT
Go Earnings Before Interest and Taxes = Revenue-Operating Expense
Depletion Expense
Go Depletion Expense = Depletion Charge per Unit*Units Consumed
Shareholders' Equity given Total Assets and Liabilities
Go Total Shareholders' Equity = Total Assets-Total Liabilities
Discount Factor
Go Discount Factor = 1/(1*(1+Discount Rate)^Number of Periods)
Discount given Discount Rate and List Price
Go Discount = Discount Rate*List Price
Discount given List Price and Price Paid
Go Discount = List Price-Price Paid
List Price
Go List Price = Price Paid+Discount

Depletion Expense Formula

Depletion Expense = Depletion Charge per Unit*Units Consumed
DE = DCUnit*UC

How to Calculate Depletion Expense?

Depletion Expense calculator uses Depletion Expense = Depletion Charge per Unit*Units Consumed to calculate the Depletion Expense, Depletion expense is a charge against profits for the use of natural resources. Depletion Expense is denoted by DE symbol.

How to calculate Depletion Expense using this online calculator? To use this online calculator for Depletion Expense, enter Depletion Charge per Unit (DCUnit) & Units Consumed (UC) and hit the calculate button. Here is how the Depletion Expense calculation can be explained with given input values -> 720 = 36*20.

FAQ

What is Depletion Expense?
Depletion expense is a charge against profits for the use of natural resources and is represented as DE = DCUnit*UC or Depletion Expense = Depletion Charge per Unit*Units Consumed. The depletion charge per unit is calculated by taking the total cost less salvage value and dividing it by the total number of estimated units & Units Consumed represents the total units consumed in depletion.
How to calculate Depletion Expense?
Depletion expense is a charge against profits for the use of natural resources is calculated using Depletion Expense = Depletion Charge per Unit*Units Consumed. To calculate Depletion Expense, you need Depletion Charge per Unit (DCUnit) & Units Consumed (UC). With our tool, you need to enter the respective value for Depletion Charge per Unit & Units Consumed and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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