A DEPR Mode Financial Calculation Variables

(VARS)

  Variables 

n

, I, PV, and FV are used in the DEPR Mode.

  The values of DEPR Mode variables are retained even if

you change to another mode. Note, however, that DEPR

Mode variables are also used by other modes, so

performing an input or calculation operation may change

the values assigned to them.

  Though DEPR Mode variables are financial calculation

variables, they are also used by arithmetic and function

operations in the COMP Mode.

A Calculation Formulas

Depreciation for an item acquired part way through a year

can be calculated by month.

u Straight Line Method

The straight line method calculates depreciation for a given

period.

(PV FV ) YR1

SL

1

 = 

u

n

12

(PV FV )

SL

j

 = 

n

(PV FV )

12  YR1

SL

n+1

 = 

u

n

12

(YR1G12)

SL 

j

: depreciation charge for the 

j

th year

n

: useful life

PV

: original cost (basis)

FV

: residual book value

j

: year for calculation of depreciation cost

YR

1 : number of months in the first year of depreciation

E 69