Definition: Double-declining balance depreciation
National accounts
Double-declining balance is a form of geometric depreciation in which the constant annual rate of capital consumption is set equal to 2*V/T, where V is the value of the asset when new and T is the service life of the asset in years.
Source:
Organisation for Economic Co-operation and Development (OECD), "Measuring Capital - OECD Manual: Measurement of Capital Stocks, Consumption of Fixed Capital and Capital Services", Annex 1: Glossary of technical terms used in the Manual, Paris, 2001
Created:
Updated: