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Description: For a period you specify, returns the depreciation of an asset, using the double-declining balance method. VDB stands for variable declining balance.
Syntax: VDB(Cost, Salvage, Life, Start_Period, End_Period)
Cost is the initial cost of the asset.
Salvage is the value at the end of the depreciation (sometimes called the salvage value of the asset).
Life is the number of periods over which the asset is being depreciated (sometimes called the useful life of the asset).
Start_Period is the starting period for which you want to calculate the depreciation. Start_Period must use the same units as life.
End_Period is the ending period for which you want to calculate the depreciation. End_Period must use the same units as life.
Remarks:
All arguments must be positive numbers.
Example:
Suppose a factory purchases a new machine. The machine costs $2,400 and has a lifetime of 10 years. The salvage value of the machine is $300. The following examples show depreciation over several periods. The results are rounded to two decimal places.
VDB(2400, 300, 3650, 0, 1) = $1.32 [the first day's depreciation]
VDB(2400, 300, 120, 0, 1) = $40.00 [the first month's depreciation]
VDB(2400, 300, 10, 0, 1) = $480.00 [the first year's depreciation]
VDB(2400, 300, 120, 6, 18) = $396.31 [the depreciation between the sixth month and the eighteenth month]
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