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Double-Declining-Balance Depreciation Method
(redirected from DDB)

   Also found in: Acronyms, Encyclopedia, Wikipedia 0.01 sec.
Double-declining-balance depreciation method (DDB)
An accounting methodology in which the depreciation rate used is double the rate used under the straight-line method. In addition, the rate is applied to the full purchase cost of the asset, whereas under the straight-line method the rate is applied to the cost net of salvage value.

Double-Declining-Balance Depreciation Method
A way of calculating the depreciation of an asset that assumes the asset loses value at double the rate of the straight-line method. One calculates the DDB by depreciating double the straight-line value for the first year, and then depreciating the same percentage for each remaining year of the asset's usable life. DDB is a form of accelerated depreciation.


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