Accelerated (WDV) depreciation. The Declining Balance Depreciation Calculator takes asset cost, depreciation rate (written-down value), years elapsed and returns book value after the years elapsed plus depreciation in the final year entered, total depreciation so far. Results update as you type, and the formula is shown under the result so you can repeat it in your own spreadsheet.
Financial ratios are only useful in comparison: against last year, against a competitor, or against the benchmark for your industry. Take the figures from the same set of accounts, note whether they are yearly or monthly, and read each ratio alongside the others in its family. Use the worked example below to check the maths against your own figures.
How the Declining Balance Depreciation Calculator works
The written-down value method charges a fixed percentage of the remaining book value each year, so depreciation is heavy early and tapers off. It matches assets that lose value fastest when new, such as vehicles and computers.
Worked example
With the example values (asset cost of ₹50,000, depreciation rate (written-down value) of 40%, years elapsed of 3), the book value after the years elapsed is ₹10,800.00; depreciation in the final year entered ₹7,200.00, total depreciation so far ₹39,200.00. Change any figure above and the result updates immediately; use Copy results to paste the summary into a note or email.
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Frequently Asked Questions
How is book value after the years elapsed calculated?
book value after n years = cost × (1 − rate)n; depreciation in year n = book value at start of year × rate.
Which figures do I need?
Asset cost, depreciation rate (written-down value), years elapsed. Take them from the same period and the same set of accounts or reports so the ratio is consistent, and check the example values as a guide to the units expected.
What is a good value for this ratio?
Benchmarks differ by industry, size and business model, so compare with companies like yours and with your own history. A ratio moving in the wrong direction for several periods matters more than any single number.
