depgendb

General declining-balance depreciation schedule

Syntax

```Depreciation = depgendb(Cost, Salvage, Life, Factor)
```

Arguments

 `Cost` Cost of the asset. `Salvage` Estimated salvage value of the asset. `Life` Number of periods over which the asset is depreciated. `Factor` Depreciation factor. `Factor` = `2` uses the double-declining-balance method.

Description

`Depreciation = depgendb(Cost, Salvage, Life, Factor)` calculates the declining-balance depreciation for each period.

Examples

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Calculate the Declining-Balance Depreciation

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; ```

Use `depgendb` to calculate the depreciation.

```Depreciation = depgendb(10000, 1000, 5, 2) ```
```Depreciation = 1.0e+03 * 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 `Cost` and `Salvage`. The value of the asset in the final year is computed as (`Cost` - `Salvage`) = `Sum_Depreciation_Upto_Final_Year`.