Term:
Double-declining balance depreciation
Definition:
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.
Domain:
Economics & National Accounts
Source:
Measuring Capital: OECD Manual, Annex 1 Glossary of Technical Terms Used in the Manual, OECD, 2001
