Sharp EL-738XTBN Operation Manual page 52

Calculating straight-line depreciation
In April, your company begins depreciation of a commercial
building with a 30-year life and no salvage value. The building
costs $1,500,000. Calculate the depreciation amount, remaining
book value and remaining depreciable value for the third year
using the straight-line depreciation method.
Procedure
Bring up the initial
display in NORMAL
mode, and select the
straight-line deprecia-
tion method.
Select depreciation
calculations.
Enter the number of
years of depreciation.
Enter the starting
month.
Enter the cost of asset. i 1500000 Q
Enter the salvage value. i 0 Q
Enter the year for calcu-
lating depreciation value.
Calculate depreciation
for the year.
Calculate the remaining
book value.
Calculate the remaining
depreciation value.
Answer: At the third year, the depreciation amount is $50,000,
the remaining book value is $1,362,500, and the re-
maining depreciable value is $1,362,500.
Key operation
s ~ 2 0
O
i 30 Q
i 4 Q
i 3 Q
i
i
i
50
Display
000
SL
----------
LIFE(N)=
3000
START MONTH=
400
COST(PV)=
150000000
SALVAGE(FV)=
000
YEAR=
300
DEPRECIATE=
5000000
RBV=
136250000
RDV=
136250000