fieldfarmer
Member
Could you show you workings out on the old one's depreciation please.this is going in circles.
his new tractor cost 140k. The old one depreciated 35k during ownership.
Could you show you workings out on the old one's depreciation please.this is going in circles.
his new tractor cost 140k. The old one depreciated 35k during ownership.
Lets work on simple figures you buy something for £150k you sell it for £100k said item has depreciation of £50 k simple does not matter if it’s a tractor boat car or planeCould you show you workings out on the old one's depreciation please.
this is going in circles.
his new tractor cost 140k. The old one depreciated 35k during ownership.
Can you please explain how you are getting the 60K as a figure from your calculations? We don't know the value of the 140K tractor second hand, although we do know that the earlier one cost 110K new and was sent on for 80K giving 35K depreciation- I think most of us would agree with that. Where I am puzzled is your 60K figure- he can't realise any loss (or gain) on the new tractor as it has not gone on yet?
Your calculators broken
Could you show you workings out on the old one's depreciation please.
Lets work on simple figures you buy something for £150k you sell it for £100k said item has depreciation of £50 k simple does not matter if it’s a tractor boat car or plane
Clive believes that the new one cost him 35k, which was the depreciation on the old one.What he said.
Bought for 115k, sold for 80k. The difference is 35k. The price of the new one has no influence on depreciation on the old one.
We just sold one that was 5 years old - cost 110k ful spec new and sold for 80k circa 1000hrs a year. Had no more than servicing and a couple of minor repairs through that time. Operators love them, light weight for the power and compact size, very versatile tractors that we use for every operation from spraying (6000L 36m) drilling (12m direct) corn cart (18-20t trailers) spreading (trailed k45) . Good all rounder
new one best part of 140k now though but that doesn't matter IMO - its ownership cost that i'm interested in
Only way you could get me into a different brand right now would be with guaranteed buy back price and 5 year warranty
No, I'm quite sure he knows it cost 140k because that's what he said right at the start.Clive believes that the new one cost him 35k, which was the depreciation on the old one.
Clive believes that the new one cost him 35k, which was the depreciation on the old one.
Oh I see , just in post 18 he paid 110k for it!What he said.
Bought for 115k, sold for 80k. The difference is 35k. The price of the new one has no influence on depreciation on the old one.
I’ve no idea, I made it all up. A bit like some of the calculations on here ?
Your calculators broken
Clive believes that the new one cost him 35k, which was the depreciation on the old one.
Oh I see , just in post 18 he paid 110k for it!
I won’t look through 21 Pages to find what everyone posted. This is way beyond any reasonable debate.
No matter what they are, depreciation is difference between what it’s bought and sold for. i think that is clear for most.
Someone wrote that the price for running a tractor was dependent on if you bought another one, or it was your last.
I really don’t know how to respond to that.
i really am surprised that there can be so big differences between how people, running businesses, look at basic economic terms. There really is no room for interpretation in this stuff.
This confusion between cashflow and bottom line is really a mystery for me.
I'm still confused. Explain to me where 60K comes into it?
Just going by your figures you put it cost 110k and was sold for 80k giving 35k depreciation surely that's 30k depreciation or it cost 115k.Can you please explain how you are getting the 60K as a figure from your calculations? We don't know the value of the 140K tractor second hand, although we do know that the earlier one cost 110K new and was sent on for 80K giving 35K depreciation- I think most of us would agree with that. Where I am puzzled is your 60K figure- he can't realise any loss (or gain) on the new tractor as it has not gone on yet?
Yes less , but a smaller tractor.in question. This is for a variety of reasons, and is why folk get tied up with cost to change.
My 7480 cost £45500 when I bought it in 2006.
I got £12000 for it when I sold it in 2018. (It wasn't traded in)
That tells me that my depreciation on that tractor is £33500. It had done 12600hrs, so it cost me £2.65 in depreciation for every hour it ran. (Less than half Clive's 724 depn!)