Stereo Tapes

Notes: Two factors are involved in depreciation of stereo tapes Obsolescence is the greatest factor in value reduction as music passes its popularity peak Dealers advise that a stereo tape reduces 50 % in value immediately after it is purchased and the seal is broken the other factor is deterioration resulting from temperature changes & stretching of the tape after a reasonable playing period If loss occurs within first three months after purchase date, use 75 % of replacement cost Fourth month & each month thereafter up to 14 months, subtract an additional 5 % per month eg use 70 % for fourth month, 65 % for fifth monthuse 20 % for 14th month & thereafter