Danaher Corp. (DHR)

Property, plant and equipment are carried at cost. The provision for depreciation has been computed principally by the straight-line method based on the estimated useful lives of the depreciable assets as follows:

Category	Useful Life
Buildings	30 years
Leased assets and leasehold improvements	Amortized over the lesser of the economic life of the asset or the term of the lease
Machinery and equipment	3 – 10 years
Customer-leased instruments	5 – 7 years

Estimated useful lives are periodically reviewed and, when appropriate, changes to estimates are made prospectively.

Source: Danaher Corp., Annual Report

Danaher Corp., Statement of Financial Position, Property, Plant and Equipment

USD $ in thousands

Source: Based on data from Danaher Corp. Annual Reports

Item	Description	The company
Land and improvements	Real estate assets held for productive use and depreciable assets that are an addition or improvement to real estate held for productive use.	Danaher Corp.'s land and improvements declined from 2015 to 2016 but then slightly increased from 2016 to 2017.
Buildings	Carrying amount as of the balance sheet date of long-lived, depreciable assets that include building structures held for productive use including any addition, improvement, or renovation to the structure, such as interior masonry, interior flooring, electrical, and plumbing.	Danaher Corp.'s buildings declined from 2015 to 2016 but then slightly increased from 2016 to 2017.
Machinery and equipment	Carrying amount as of the balance sheet date of long-lived, depreciable asset used in production process to produce goods and services.	Danaher Corp.'s machinery and equipment declined from 2015 to 2016 but then slightly increased from 2016 to 2017.
Customer-leased instruments	The amount of lessor property subject to or available for lease, at cost adjusted for any previously recognized impairment charges, by major property class, as of the balance sheet date.	Danaher Corp.'s customer-leased instruments increased from 2015 to 2016 and from 2016 to 2017.
Gross property, plant and equipment	Carrying amount at the balance sheet date for long-lived physical assets used in the normal conduct of business and not intended for resale. This can include land, physical structures, machinery, vehicles, furniture, computer equipment, construction in progress, and similar items. Amount does not include depreciation.	Danaher Corp.'s gross property, plant and equipment declined from 2015 to 2016 but then increased from 2016 to 2017 not reaching 2015 level.
Property, plant and equipment, net	Tangible assets that are held by an entity for use in the production or supply of goods and services, for rental to others, or for administrative purposes and that are expected to provide economic benefit for more than one year; net of accumulated depreciation. Examples include land, buildings, and production equipment.	Danaher Corp.'s property, plant and equipment, net declined from 2015 to 2016 but then slightly increased from 2016 to 2017.

Danaher Corp., Property, Plant and Equipment Ratios

Ratio	Description	The company
Average age	As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company's fixed asset base is old or new. Newer assets are likely to be more efficient.	Danaher Corp.'s average age of depreciable property, plant and equipment improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017.
Estimated total useful life	Over longer time periods, this ratio is a useful measure of company's depreciation policy and can be used for comparisons with competitors.	Danaher Corp.'s estimated total useful life of depreciable property, plant and equipment declined from 2015 to 2016 but then slightly increased from 2016 to 2017.
Estimated time elapsed since purchase	The approximate age in years of a company's fixed assets. Useful for comparison purposes.	Danaher Corp.'s estimated time elapsed since purchase of depreciable property, plant and equipment improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level.
Estimated remaining life		Danaher Corp.'s estimated remaining life of depreciable property, plant and equipment declined from 2015 to 2016 and from 2016 to 2017.

2017 Calculations

Ratio	Description	The company
Average age	As long as straight-line depreciation is used, this is an accurate estimate of asset age as a percentage of depreciable life. The relative age is a useful measure of whether the company's fixed asset base is old or new. Newer assets are likely to be more efficient.	Danaher Corp.'s average age of depreciable property, plant and equipment improved from 2015 to 2016 but then deteriorated significantly from 2016 to 2017.

2017 Calculations

Ratio	Description	The company
Estimated total useful life	Over longer time periods, this ratio is a useful measure of company's depreciation policy and can be used for comparisons with competitors.	Danaher Corp.'s estimated total useful life of depreciable property, plant and equipment declined from 2015 to 2016 but then slightly increased from 2016 to 2017.

2017 Calculations

Ratio	Description	The company
Estimated time elapsed since purchase	The approximate age in years of a company's fixed assets. Useful for comparison purposes.	Danaher Corp.'s estimated time elapsed since purchase of depreciable property, plant and equipment improved from 2015 to 2016 but then slightly deteriorated from 2016 to 2017 not reaching 2015 level.

2017 Calculations

Ratio	Description	The company
Estimated remaining life		Danaher Corp.'s estimated remaining life of depreciable property, plant and equipment declined from 2015 to 2016 and from 2016 to 2017.