What is the percentage used to calculate depreciation for fleet vehicles?

The correct percentage used to calculate depreciation for fleet vehicles is 1.7%. This figure is generally derived from industry standards and practices related to the lifespan and usage of fleet vehicles, which take into account factors like vehicle age, expected mileage, maintenance costs, and residual value.

Depreciation is essential for businesses as it reflects the decrease in value of their assets over time. In managing fleet vehicles, understanding and applying the correct percentage is crucial for accurate financial reporting and budgeting. This ensures that the company can allocate funds appropriately for replacements and other expenses related to maintaining the fleet.