All versions
Financial
The Excel DDB function returns depreciation using the double-declining-balance method (or any factor you choose) — the most aggressive common accelerated method.
Quick answer:
=DDB(10000, 1000, 5, 1) // year 1 (fastest)
Syntax
=DDB(cost, salvage, life, period, [factor])
| Argument | Description | |
|---|---|---|
cost | Required | Initial cost. |
salvage | Required | End value. |
life | Required | Useful life. |
period | Required | The period. |
factor | Optional | Rate of decline (default 2 = double-declining). |
How to use it
DDB returns depreciation using the double-declining-balance method (or any factor you choose) — the most aggressive common accelerated method.
=DDB(10000, 1000, 5, 1) // double-declining year 1
Try it: interactive demo
Live demo
This is the formula pattern DDB uses — copy it into Excel with your own numbers.
Result: computed in Excel
Practice workbook
Download the free DDB practice workbook
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Frequently asked questions
What does the factor argument do?
It sets the acceleration; 2 (default) is double-declining, 1.5 is 150% declining balance.
Does DDB respect salvage?
It won’t depreciate below salvage value, but you may need VDB to switch to straight-line late.
Which Excel versions support it?
All modern versions.
Why might it return #NUM! or #VALUE!?
Out-of-range arguments (e.g. negative rate or settlement after maturity) give #NUM!; non-numeric inputs give #VALUE!.
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