How to use the DDB function
The DDB function calculates the depreciation of an asset for a given period using the double-declining balance method or based on user input.
Formula in cell F3:
Excel Function Syntax
DDB(cost, salvage, life, period, [factor])
Arguments
| Cost | Required. What you pay for the asset. |
| Salvage | Required. The value of the asset at the end of depreciation. |
| Life | Required. The number of periods the asset is being depreciated. |
| Period | Required. The period you want to know the depreciation of. |
| [factor] | Optional. How quickly the balance declines, default value is 2 (the double-declining balance method). |
Comments
Here is how the DDB function calculates the depreciation of a period:
Min( (cost - total depreciation from prior periods) * (factor/life), (cost - salvage - total depreciation from prior periods) )
This extensive function reference list provides detailed information including syntax, arguments, return values, and examples for many of the functions used in Excel formulas. Click on headers to sort table.
Functions in 'Financial'
The DDB function function is one of many functions in the 'Financial' category.
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