Accounting · Odoo glossary
Straight-Line Depreciation
Straight-line depreciation allocates an asset’s depreciable amount evenly over its useful life, subject to timing conventions.
Definition
In general ERP practice
Straight-line depreciation allocates an asset’s depreciable amount evenly over its useful life, subject to timing conventions. The depreciable amount is typically cost less estimated residual value.
In Odoo
Odoo’s asset method called Straight Line produces an even allocation over configured periods, with date and prorata settings affecting the first or last period. It differs from a declining method based on the remaining value.
Official Odoo documentation
The Odoo-specific explanation above is based on the documentation for Odoo 19. Features and workflows can differ in other versions.
Related glossary terms
Continue reading