SDeclining-Balance Method (DB)I% Y–1DB1 = PV σ 100n σ 12RDV1 = PV FV DB1I% DBj = (RDVj–1+ FV ) σ 100nRDVj = RDVj–1DBj

DBj : depreciation charge for the jth year

RDVj : remaining depreciable value at the end of jth year

I% : depreciation factor

DBn +1 = RDVn

({Y–1}ξ12)

RDVn+1 = 0

({Y–1}ξ12)

Press (DEPR) from the Financial 2 screen to display the following input screen for depreciation calculation.

(E)(DEPR)

n............

useful life

I% .........

depreciation ratio in the case of the fixed percent (FP) method, depreciation factor in

 

the case of the declining balance (DB) method

PV.........

original cost (basis)

FV.........

residual book value

j.............

year for calculation of depreciation cost

Y−1........

number of months in the first year of depreciation

After configuring the parameters, use one of the function menus noted below to perform the corresponding calculation.

{SL} … {Calculate depreciation for year j using the straight-line method}

{FP} ... {FP} ....{Calculate depreciation for year j using the fixed-percentage method} {I%} .....{Calculate depreciation ratio}

{SYD} … {Calculate depreciation for year j using the sum-of-the-years’-digits method}

{DB} … {Calculate depreciation for year j calculated using the declining-balance method}

Calculation Result Output Examples

{SYD}

{SYD} − {TABL}

{SYD} − {GRPH}

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