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Section 13: Investment Analysis 143
File name: hp 12c_user's guide_English_HDPMBF12E44 Page: 143 of 209
Printered Date: 2005/7/29 Dimension: 14.8 cm x 21 cm
7. Key in the number of months in first year
*
then press t.
The display will
show the amount of depreciation for the desired year. If desired, press ~
to see the remaining depreciable value, then press :$:3=
~-:M- to find the total depreciation through the current year.
8. Press t for the amount of depreciation then, if desired, press ~ for the
remaining depreciable value for the next year. Repeat this step for the
following years.
9. For a new case press gi00 and return to step 2.
Example:
A commercial movie camera is purchased for $12,000. If maintained
properly, the camera has a useful life expectancy of 25 years with $500 salvage
value. Using the sum-of-the-years-digits method, what is the amount of depreciation
and the remaining depreciable value for the 4th and 5th years
?
Assume the first
depreciation year is 11 months long.
Keystrokes Display
fCLEARG
12000$
12,000.00
Book value.
500M
500.00
Salvage value.
25n
25.00
Life.
4\
4.00
Year desired.
11t
~
4.00
781.41
8,238.71
Fourth year:
depreciation,
remaining depreciable value.
t
~
5.00
746.02
7,492.69
Fifth year:
depreciation,
remaining depreciable value.
*
Refer to straight-line depreciation instruction note, page 137.
The display will pause showing the year number before showing the amount of depreciation
for that year.
143


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