# Documentation/How Tos/Calc: SYD function

CALC FUNCTIONS
FUNCTIONS
Depreciation
Payment Streams, Annuities, Loans
Securities
Coupons
Miscellaneous

## SYD

Returns the depreciation of an asset for a given year using the sum-of-years'-digits method.

### Syntax:

originalcost: the initial cost of the asset.
salvagevalue: is the value at the end of the depreciation (sometimes called the salvage value of the asset).
lifetime: the number of years over which the asset is being depreciated.
year: the year number for which the depreciation is calculated.
To calculate depreciation, SYD adds the year numbers during the asset’s life; the year numbers taken backward and divided by that sum give the proportion of the total loss of value to assign to depreciation that year.
For example with a 4 year depreciation, where the asset loses 5000 in value: the sum of the year numbers is 1 + 2 + 3 + 4 = 10, and the depreciation each year (in order) is 4/10ths, 3/10ths, 2/10ths then 1/10th of 5000.
The formula for a year's depreciation is

### Example:

SYD(10000; 2000; 4; 1)

returns 3200 in currency units, which is the depreciation in the first year for an asset which cost 10000 and is written down to 2000 over 4 years. The total loss of value is 8000; 3200 is 4/10ths of this.