Manuals/calci/VDB

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VDB(C, Salvage, L, SP, EP, Factor, NSwitch)

  • Where 'C' is the initial cost of the asset
  • 'Salvage' is the value at the end of the depreciation
  • 'L' is the number of periods over which the asset is depreciated
  • 'SP' , 'EP' are the starting and ending periods to calculate the depreciation
  • 'factor' is the rate at which the balance declines
  • 'NSwitch' is a logical value specifying whether to switch to straight-line depreciation when depreciation is greater than the declining balance calculation.

Description

  • This function computes the depreciation of an asset for any period you specify, using the double-declining balance method.
  • To calculate depreciation, VDB uses a fixed rate.
  • When factor = 2 this is the double-declining-balance method (because it is double the straight-line rate that would depreciate the asset to zero).
  • The rate is given by:

 

Example

Spreadsheet
A B
1 Initial Cost(C) 3500
2 Salvage Value 350
3 12
4 0
5 1

See Also

AMORDEGRC

References