Solution 1

def depreciation(initial,salvage,years):
    return (initial-salvage)/years

Solution 2

import matplotlib.pyplot as plt

def depreciationFull(initial,salvage,years):
    values=[initial]
    value=initial
    periods=[0]
    charge = depreciation(initial,salvage,years)
    for y in range(1,years+1):
        periods+=[y]
        value-=charge
        values +=[value]

    return values,periods
values,periods = depreciationFull(15000,0,3)
plt.plot(periods,values)
plt.xlabel("Year")
plt.ylabel("Equipment Value")
plt.title("Straight Line Depreciation")
plt.show()

The first solution finds our depreciation charge, and the second solution creates an array where every year we apply this depreciation charge to our equipment. The last 4 lines plot our equipment’s value.