Graphic: Historical Calculation
The difference between historical calculation and calculation from the replacement value of the previous year ("normal") is demonstrated by a subsequent acquisition to an asset. When historical calculation is used, the calculation of the replacement value is carried out as if the subsequent acquisition were in the capitalization year.
The graphic below compares this aspect of these two calculation methods.
Index series that calculate on the basis of the historical APC are especially suited for assets for which you need to calculate a replacement value, when the assets were acquired in previous years and no replacement values have been calculated. This applies, for example, to assets transferred from a previous system.