The double-declining balance (DDB) depreciation method, also known as the reducing balance method, is one of two common methods a business uses to account for the expense of a long-lived asset.

Here are some of the most commonly used methods. This straight-line depreciation method evenly distributes the asset’s cost over its useful life. It works well for assets like property that tend ...

The straight-line method is the simplest and most commonly used way to calculate depreciation under generally accepted accounting principles. To calculate depreciation using the straight-line ...

This straight-line depreciation method evenly distributes the asset’s cost over its useful life. It works well for assets like property that tend to depreciate predictably each year. With this ...

Sum-of-the-years’ digits: Much like declining value, the sum-of-the-years' digits method depreciation allows you to depreciate more value upfront. Instead of using a percentage, you essentially ...

Accelerated depreciation allows businesses to write off the cost of an asset more quickly than the traditional straight-line method. This can provide asset owners with potentially valuable tax ...

EBITDA is a metric commonly used to estimate the value of a company. Here’s how to calculate EBITDA and when to use it.

Spending the first payment for unrelated purposes will cause you to forfeit the recoverable depreciation. The formula for calculating recoverable depreciation is unique to each policy and the nature ...

There's an easy formula you can use to evaluate how much your car has depreciated. First, find your car's fair market value as of today. You can find an estimate by using a car depreciation ...

Accelerated depreciation is a tool for businesses looking to optimize their tax strategies and manage cash flow effectively.

Companies may use the method they prefer, as long as they are consistent over time. Depreciation is only permitted on physical assets. For intangible assets, such as intellectual property ...