DDB Function Declining Balance Depreciation Calculator
Calculates depreciation using the Declining Balance method.
Formula: ddb(cost, slvg, life, period, fct)
ddb: The result of the formula.
cost: The initial cost of the asset. 0 < cost
slvg: The salvage value. 0 <= slvg <= cost
life: The life of the asset. 0<= life
period: The period of the depreciation. 0 < period
fct: The depreciation rate. 0 < fct. Typically 1.5-2 and not 150 - 200.
Example 1
Calculate the annual depreciation of a 10,000 asset with a salvage value of 1,000 and a life of 5 for period 1 with a depreciation factor of 2.
| Value | Keystrokes | Display | Description |
|---|---|---|---|
| 10000 | cost | 10,000.0000 | Stores the cost value. |
| 1000 | slvg | 1,000.0000 | Stores the slvg value. |
| 5 | life | 5.0000 | Stores the life value. |
| 1 | period | 1.0000 | Stores the period value. |
| 2 | fct | 2.0000 | Stores the fct value. |
| ddb | 4,000.0000 | Calculates the ddbF. |
Example 2
What fct value is required for a 4,400 depreciation in period 1?
These keystrokes assume the values from example 1.
| Value | Keystrokes | Display | Description |
|---|---|---|---|
| 4,200 | ddb | 4,200.0000 | Stores the ddbF value. |
| fct | 2.2000 | Calculates the fct value. |
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