The formula gets rearranged depending on which variable you need. Here are the patterns you’ll run into in the real world — find the one that matches your problem and follow the worked steps.
01 · PATTERN
Cost ($) halved
cost = 50000 (from 100000)
Keep every other input at its default and halve the cost ($). See how depreciation responds.
- 01New Cost ($): 50000
- 02Baseline Depreciation: 10800
- 03New Depreciation: 4800
- 04Depreciation decreases by 55.6% → use this sensitivity to plan for real-world variation.
02 · PATTERN
Cost ($) doubled
cost = 200000 (from 100000)
Keep every other input at its default and double the cost ($). See how depreciation responds.
- 01New Cost ($): 200000
- 02Baseline Depreciation: 10800
- 03New Depreciation: 22800
- 04Depreciation increases by 111.1% → use this sensitivity to plan for real-world variation.
03 · PATTERN
Salvage ($) halved
salvage = 5000 (from 10000)
Keep every other input at its default and halve the salvage ($). See how depreciation responds.
- 01New Salvage ($): 5000
- 02Baseline Depreciation: 10800
- 03New Depreciation: 11400
- 04Depreciation increases by 5.6% → use this sensitivity to plan for real-world variation.
04 · PATTERN
Salvage ($) doubled
salvage = 20000 (from 10000)
Keep every other input at its default and double the salvage ($). See how depreciation responds.
- 01New Salvage ($): 20000
- 02Baseline Depreciation: 10800
- 03New Depreciation: 9600
- 04Depreciation decreases by 11.1% → use this sensitivity to plan for real-world variation.