Apple iWork '09 - Manual (Page 114)

DB
The DB function returns the amount of depreciation of an asset for a specified period
using the fixed-declining balance method.
DB(cost, salvage, life, depr-period, first-year-months)
 cost: The initial cost of the asset. cost is a number value and must be greater than or
equal to 0.
 salvage: The salvage value of the asset. salvage is a number value and must be
greater than or equal to 0.
 life: The number of periods over which the asset is depreciating. life is a number
value and must be greater than 0. A decimal (fractional) part of life is allowed (for
example, 5.5 for a five and one-half year depreciable life).
 depr-period: The period for which you want to calculate depreciation. depr-period
is a number value and must be greater than 0. Any decimal (fractional) part of depr-
period is ignored.
 first-year-months: An optional argument specifying the number of months of
depreciation in the first year. first-year-months is a number value and must be in the
range 1 to 12. Any decimal (fractional) part of first-year-months is ignored.
Example 1
Constructing a Depreciation Schedule
Assume you have just purchased an asset with a cost of $1,000, a salvage value of $100, and an
expected useful life of 4 years. Assume the asset will be depreciated 12 months in the first year.
Using the DB function, you can construct a depreciation table showing the depreciation for each year.
cost salvage life depr-period first-year-months
1000 100 4 12
First year (returns
$438) =DB(B2, C2, D2,
E3, F2) 1
Second year
(returns $246.16) =DB(B2, C2, D2,
E4, F2) 2
Third year (returns
$138.74) =DB(B2, C2, D2,
E5, F2) 3
Fourth year
(returns $77.75) =DB(B2, C2, D2,
E6, F2) 4
114 Chapter 6 Financial Functions