Full- And Partial-Year Depreciation With Crossover - HP 12C Platinum User Manual

Keystrokes Keystrokes
(RPN mode) (ALG mode)
11t 11t
~ ~
t t
~ ~

Full- and Partial-Year Depreciation with Crossover

When calculating declining-balance depreciation it is often advantageous for tax
purposes to switch from declining balance to straight-line depreciation at some
point. This hp 12c platinum program calculates the optimum crossover point and
automatically switches to straight-line depreciation at the appropriate time. The
crossover point is the end of the year in which the declining-balance depreciation
last exceeds or equals the amount of straight-line depreciation. The straight-line
depreciation is determined by dividing the remaining depreciable value by the
remaining useful life.
Given the desired year and the number of months in the first year, this program
calculates the depreciation for the desired year, the remaining depreciable value,
and the total depreciation through the current year.
KEYSTROKES
(RPN mode)
fs
000,
fCLEARÎ
1
001,
2
002,
z
003,
?6 004,
:n
005,
~
006,
Section 13: Investment Analysis
Display
4.00
781.41
8,238.71
5.00
746.02
7,492.69
KEYSTROKES
DISPLAY
(ALG mode)
fs
fCLEARÎ
z
1
1
2
2
10
³
44 6
45 11
?6
:n
34
Fourth year:
depreciation,
remaining depreciable
value.
Fifth year:
depreciation,
remaining depreciable
value.
DISPLAY
000,
001,
002,
003,
004,
005, 44
006, 45
187
10
1
2
36
6
11