This function calculates the depreciation of an asset for a specified period using the double-declining balance method or another method you specify.
DDB(cost,salvage,life,period,factor)
This function has these arguments:
| Argument | Description |
|---|---|
| cost | Initial cost of the asset |
| salvage | Value at the end of depreciation |
| life | Number of periods over which the asset is being depreciated |
| period | Period for which you want to calculate the depreciation in the same units as the life argument |
| factor | [Optional] Rate at which the value declines; if omitted, the calculation uses 2 (double-declining method) |
All arguments must be positive numbers.
This function uses the following calculation for depreciation for a period:
cost – salvage(total depreciation from prior periods) x factor/life
Accepts numeric data for all arguments. Returns numeric data.
DDB(B1,1000,10,1)
DDB(R1C2,10000,10,1)
DDB(500000,5000,5,1,4) gives the result $40,0000