VDB Depreciation Question
- From: KRP <KRP.2f6is7@xxxxxxxxxxxxxxxxxxxx>
- Date: Wed, 4 Oct 2006 19:51:27 +0100
Hi All,
I understand that if you set the no_switch argument of the VDB function
to false, your calculation will switch to straight line (SLN) once SLN
is greater than the declining balance.
However, I cannot seem to get this to work. By way of example:
=SLN(2400,300,10) equates to 210 of depreciation expense per year (for
ten years).
=VDB(2400,300,10,0,1,2,FALSE) equates to the following depreciation
expenses per year:
Year 1 480.00
Year 2 384.00
Year 3 307.20
Year 4 245.76
Year 5 196.61
Year 6 157.29
Year 7 125.83
Year 8 100.66
Year 9 80.53
Year 10 22.12
My question is why doesn?t this formula switch to straight-line in year
5 when the VDB balance is obviously less than straight-line????
Any guidance would be much appreciated!
Kevin
--
KRP
.
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