Fixed-declining balance (asset depreciation)

Returns the depreciation of an asset for a specified period, using the fixed-declining-balance method. This is a method of accelerated depreciation which is faster than straight line depreciation early in the life of the asset.

Syntax

Db <Month> (Cost, Salvage, Life, Period)

Where:

Cost is the initial cost of the asset.

Salvage is the value of the asset at the end of the depreciation period.

Life is the number of periods over which the asset is depreciated. This is sometimes referred to as the useful life of an asset.

Period is the period of time over which depreciation is calculated.

Month is an integer indicating the number of months in the first year.

Expression

To calculate depreciation over any given period:

Where:

To calculate depreciation for the first period:

To calculate depreciation for the last period: