General declining-balance depreciation schedule
A car is purchased for $10,000 and is to be depreciated over five years. The estimated salvage value is $1000. Using the double-declining-balance method, the function calculates the depreciation for each year and returns the remaining depreciable value at the end of the life of the car.
Define the depreciation.
Life = 5; Salvage = 0; Cost = 10000; Factor=2;
depgendb to calculate the depreciation.
Depreciation = depgendb(10000, 1000, 5, 2)
Depreciation = 1×5 103 × 4.0000 2.4000 1.4400 0.8640 0.2960
The large value returned at the final year is the sum of the depreciation over the life time and is equal to the difference between the
Salvage. The value of the asset in the final year is computed as (
Cost— Initial value of the asset
initial value of the asset, specified as a scalar numeric.
Salvage— Salvage value of the asset
Salvage value of the asset, specified as a scalar numeric.
Life— Number of periods over which the asset is depreciated
Number of periods over which the asset is depreciated, specified as a scalar numeric.
Factor— Depreciation factor
Depreciation factor, specified as a scalar numeric. When
2, then the
double-declining-balance method is used.
Depreciation, returned as the declining-balance depreciation for each period.