In this scenario, you are dealing with depreciation of a computer system using the straight-line method, with the following information:

• Initial value of the asset (computer system) = $5000
• Depreciation rate per annum = 12.5%
• Residual value = $0 (since there is no residual value)

Formula for Straight-Line Depreciation:

$\text{Annual Depreciation} = \frac{\text{Initial Value} - \text{Residual Value}}{\text{Useful Life of the Asset}}$

But in this case, we can also directly use the depreciation rate: $\text{Annual Depreciation} = \text{Initial Value} \times \text{Depreciation Rate}$

1. Annual Depreciation:

$\text{Annual Depreciation} = 5000 \times 0.125 = 625$

So, the system depreciates by $625 per year.

Value of the Computer System after a given period:

The value at any point in time can be calculated by subtracting the accumulated depreciation from the initial value:

$\text{Value after n years} = \text{Initial Value} - n \times \text{Annual Depreciation}$

Where $n$ is the number of years.

If you'd like to calculate the value after a specific number of years or any further details, let me know!

Would you like me to expand on anything or continue with a specific period? Here are some related questions:

1. How much is the value of the computer after 3 years?
2. What is the accumulated depreciation after 5 years?
3. How would the calculation change with a residual value?
4. What is the total depreciation after 10 years?
5. How does the straight-line method compare with other depreciation methods?

Tip: Straight-line depreciation is simple but does not account for varying usage over time, unlike declining balance methods.