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An asset valuation question
Two types of depreciation appear in this question, repairable and irreparable.

The physical depreciation of an asset is also known as tangible wear and tear. Physical depreciation has to be compounded with repairable depreciation and irreparable depreciation.

Which irreparable loss or depreciation = (replacement cost - repair costs) / total useful life × actual years of use

Replacement of the full price: 1.6 million yuan

Repairable loss caused by depreciation: 165,000 yuan

Non-repairable loss caused by depreciation: that is, according to the use of wear and tear of the years of use of the depreciation of non-repairable.

(160-16.5)/25×5=287,000 yuan

Physical depreciation: 452,000 yuan

Depreciation rate: 45.2/160=28.25%