How to use the DDB Function in Excel Office 365?
Tags: tousetheddbfunction, excel, excelfunctions
Published: 2021-08-31 10:52:57

---
title: How to use the DDB Function in Excel Office 365?
published: true
date: 2021-08-30 19:42:32 UTC
tags: ToUseTheDDBFunction,Excel,ExcelFunctions
canonical_url: https://geekexcel.com/how-to-use-the-ddb-function-in-excel-office-365/
---

Have you ever tried to use these functions In your Excel Spreadsheet? In this tutorial, we will guide you on **how to use the DDB Function In Excel Office 365**. Let’s get them below!! Get an official version of MS Excel from the following link: **[https://www.microsoft.com/en-in/microsoft-365/excel](https://www.microsoft.com/en-in/microsoft-365/excel)**

## DDB Function

**DDB function** is rate or factor **declining depreciation** is the way of calculating the different **depreciation of any asset for each period**. The **double-declining balance method** is the way where users can add a **factor or rate of decline of depreciation** of an asset for a specific period, and it returns **depreciation decline amount** by a factor or rate for the input data for the specific product.

## DDB Function Syntax

```
=DDB (cost, salvage, life, period, [factor])
```

**Syntax Explanation:**

- **Cost:** Cost price of the asset
- **Salvage:** remaining price of the asset after its lifetime period
- **Life:** period after which cost price becomes salvage price
- **period:** specific period for which we need to calculate depreciation.
- **factor:** [optional] specify rate or factor for the asset depreciation. Default is 2

## Example1

- Firstly, you have to **create a sample data** with **input values**.

![](https://geekexcel.com/wp-content/uploads/2021/08/Sample-data-46.png)<figcaption>Sample data</figcaption>

- Then, you need to calculate the **depreciation amount for the Iphone by factor 1**.
- Now, you have to use the **formula** to calculate **depreciation by factor 1**.

```
=DDB(B2,C2,D2,1,1)
```

**B2:** Cost price of the asset  
**C2:** the remaining price of the asset after a period  
**D2:** 4 years after cost price becomes salvage price  
**1:** the first year to calculate depreciation amount.  
**1:** via factor

![](https://geekexcel.com/wp-content/uploads/2021/08/depreciation-factor-1.png)<figcaption>Depreciation by factor 1</figcaption>

- After that, you need to calculate the **depreciation amount for each year** separately and for **different factors**.
- Now, you have to use the following **formula** to calculate **depreciation for second year**.

```
=DDB(B2,C2,D2,2,1)
```

**B2:** Cost price of the asset  
**C2:** the remaining price of the asset after a period  
**D2:** 4 years after cost price becomes salvage price  
**2:** the first year to calculate depreciation amount.  
**1:** via factor  
**Month:** taken as default to 12 a year.

![](https://geekexcel.com/wp-content/uploads/2021/08/depreciation-for-second-year.png)<figcaption>Depreciation for the second year</figcaption>

- Finally, you need to calculate the **depreciation for Third & Fourth year** by using the above given **formula**.

![](https://geekexcel.com/wp-content/uploads/2021/08/depreciation-for-Third-Fourth-year.png)<figcaption>Depreciation for Third &amp; Fourth year</figcaption>

**Check this too:**

- [DB Function](https://geekexcel.com/excel-db-function-in-office-365-with-examples/)
- [DBCS Function](https://geekexcel.com/excel-dbcs-function-definition-with-practical-examples/)

**NOTE:**

- The **DDB function** generates **#VALUE! Error** if arguments to the function is **non – numeric**.
- The function generates **#NUM! Error** if:
  - The **value of cost and salvage** is **less than 0**.

  - The **value of life of an asset** is **less than or equals to zero**.

  - The **period argument** is **less than or equals to 0** or **greater than life period**.
  - The **factor argument** is **less than 1**.

## End of line

We hope that this tutorial gives you guidelines on **how to use the DDB Function In Excel Office 365. ** Please leave a comment in case of any **queries,** and don’t forget to mention your valuable **suggestions** as well. Thank you so much for Visiting Our Site!! Continue learning on **[Geek Excel](https://geekexcel.com/)!! **Read more on [**Excel Formulas**](https://geekexcel.com/excel-formula/) **!!**

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