Can anyone explain to me about auto mileage depreciation?

Answer by  Adrian29 (547)

Every company uses a different formula to determine the depreciation. Its normaly the starting price minus a preset mileage value, times the amount of miles the vehicle has. What you need to find out is what each mile is valued at.

Answer by  Amber40 (24961)

As far as I know there is no standard formula for calculating this. Every car can be different but expect to lose roughly $1000 for ever 10,000 miles or so.

Answer by  Amber40 (24961)

I believe that for commercial vehicle the depreciation is around 50¢ per mile. Search around for tax websites that list depreciation values and limits by year.

Answer by  sprintjapan (85)

The more you drive a car, the more the mileage icreases causing wear and tear of vehicle increasing resulting vehicle value to drop and lesser aftersales value in the future

Answer by  ganeshkumar (10)

Mileage goes down due to improper gear transmission and driving in the inappropriate gear. Over acceleration,bad maintenance,over speeding drops down the mileage.

Answer by  jkc (258)

Mileage depreciation is applied to any second hand or used car because the more miles driven on the speedometer means more wear and tear on the vehicle, there are no formulas as such however depreciation is applied in varying amount to varying types and classes of vehicles.

Answer by  Karthon (403)

There is no set formula for all cars' depreciation due to mileage. This is because each car is built to have a different lifespan. For example, an ordinary car might have a target range of 100,000 miles but a super car isn't built for that.