How is depreciation calculated?
Each general quote item contains information about its suggested annual depreciation and maximum depreciation. You can view this information by right clicking on the selected item and then choosing “View Item Information.” This information is only available if you have selected a category and selector.
The suggested annual depreciation is calculated using the average life expectancy for the item.
The life expectancy is determined by the industry standard Joint Military Industry Depreciation Guide (JMIDG).
You can find more information in the Depreciation white paper.