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<< Click to Display Table of Contents >> DB (fixed-declining balance depreciation) |
Syntax:
DB(Cost, Salvage, Life, Per [, Months])
Description:
This returns the depreciation of an asset for the specified period, using the fixed-declining balance method.
Cost = Initial cost of asset
Salvage = Salvage value (value at the end of the depreciation)
Life = Life of asset (in number of periods)
Per = Period to evaluate (in the same time unit as Life)
Months (optional) = Number of months in the first year (12 if omitted)
Example:
In the case of a machine purchased for €200,000 that is used for 6 years and then has a salvage value of €10,000, the following annual depreciation amount must be applied for the first year, broken down into 7 months:
DB(200000, 10000, 6, 1, 7) returns €45,850
See also: