Skip to content
xlsoffice. All Rights Reserved
  • Home
  • Excel For Beginners
  • Excel Intermediate
  • Advanced Excel For Experts

Lookup and Reference Examples

  • Merge tables with VLOOKUP in Excel
  • Approximate match with multiple criteria in Excel
  • Basic INDEX MATCH approximate in Excel
  • How to use Excel INDIRECT Function
  • Vlookup Examples in Excel

Data Analysis Examples

  • How To Remove Duplicates In Excel Column Or Row?
  • Remove Duplicates Example in Excel
  • How To Load Analysis ToolPak in Excel
  • Number and Text Filters Examples in Excel
  • What-If Analysis: Scenarios and Goal Seek in Excel

Data Validation Examples

  • Excel Data validation only dates between
  • Excel Data validation number multiple 100
  • Excel Data validation don’t exceed total
  • Excel Data validation require unique number
  • Excel Data validation whole percentage only

DB function: Description, Usage, Syntax, Examples and Explanation

by

What is DB function in Excel?

DB function is one of the Financial functions in Microsoft Excel that returns the depreciation of an asset for a specified period using the fixed-declining balance method.

Syntax of DB function

DB(cost, salvage, life, period, [month])

The DB function syntax has the following arguments:

  • Cost: The initial cost of the asset.
  • Salvage    Required. The value at the end of the depreciation (sometimes called the salvage value of the asset).
  • Life: The number of periods over which the asset is being depreciated (sometimes called the useful life of the asset).
  • Period: The period for which you want to calculate the depreciation. Period must use the same units as life.
  • Month(Optional): The number of months in the first year. If month is omitted, it is assumed to be 12.

DB formula explanation

  • The fixed-declining balance method computes depreciation at a fixed rate. DB uses the following formulas to calculate depreciation for a period:(cost – total depreciation from prior periods) * ratewhere:rate = 1 – ((salvage / cost) ^ (1 / life)), rounded to three decimal places
  • Depreciation for the first and last periods is a special case. For the first period, DB uses this formula:cost * rate * month / 12
  • For the last period, DB uses this formula:((cost – total depreciation from prior periods) * rate * (12 – month)) / 12

Example of DB function

Steps to follow:

1. Open a new Excel worksheet.

2. Copy data in the following table below and paste it in cell A1

Note: For formulas to show results, select them, press F2 key on your keyboard and then press Enter.

You can adjust the column widths to see all the data, if need be.

Data Description
$1,000,000 Initial cost
$100,000 Salvage value
6 Lifetime in years
Formula Description Result
=DB(A2,A3,A4,1,7) Depreciation in first year, with only 7 months calculated $186,083.33
=DB(A2,A3,A4,2,7) Depreciation in second year $259,639.42
=DB(A2,A3,A4,3,7) Depreciation in third year $176,814.44
=DB(A2,A3,A4,4,7) Depreciation in fourth year $120,410.64
=DB(A2,A3,A4,5,7) Depreciation in fifth year $81,999.64
=DB(A2,A3,A4,6,7) Depreciation in sixth year $55,841.76
=DB(A2,A3,A4,7,7) Depreciation in seventh year, with only 5 months calculated $15,845.10

Post navigation

Previous Post:

DDB function: Description, Usage, Syntax, Examples and Explanation

Next Post:

CUMPRINC function: Description, Usage, Syntax, Examples and Explanation

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Learn Basic Excel

Ribbon
Workbook
Worksheets
Format Cells
Find & Select
Sort & Filter
Templates
Print
Share
Protect
Keyboard Shortcuts

Categories

  • Charts
  • Data Analysis
  • Data Validation
  • Excel Functions
    • Cube Functions
    • Database Functions
    • Date and Time Functions
    • Engineering Functions
    • Financial Functions
    • Information Functions
    • Logical Functions
    • Lookup and Reference Functions
    • Math and Trig Functions
    • Statistical Functions
    • Text Functions
    • Web Functions
  • Excel VBA
  • Excel Video Tutorials
  • Formatting
  • Grouping
  • Others
  • How to split text string at specific character in Excel
  • How to display conditional message with REPT function in Excel
  • Add line break based on OS in Excel
  • CLEAN function: Description, Usage, Syntax, Examples and Explanation
  • SEARCH, SEARCHB functions: Description, Usage, Syntax, Examples and Explanation
  • Convert decimal minutes to Excel time
  • Get project midpoint in Excel
  • Sum race time splits in Excel
  • How to show last updated date stamp in Excel
  • Find Last Day of the Month in Excel
  • ODDFPRICE function: Description, Usage, Syntax, Examples and Explanation
  • INTRATE function: Description, Usage, Syntax, Examples and Explanation
  • AMORDEGRC function: Description, Usage, Syntax, Examples and Explanation
  • EFFECT function: Description, Usage, Syntax, Examples and Explanation
  • How to calculate annuity for interest rate in excel
Acronyms, Abbreviations, Initialism & What They Stand For
© 2021 xlsoffice. All Rights Reserved | Teal Smiles