A depreciation technique where a constant percentage (such as 200%, 150%, or 125%) is applied to the book value of an asset. (As an asset is depreciated its book value declines.) This technique results in greater depreciation in the early years of an asset’s life and smaller depreciation in the later years of the asset’s life (compared to constant depreciation amounts using straight-line depreciation). To learn more, see Explanation of Depreciation.
Join PRO or PRO Plus and Get Lifetime Access to Our Premium Materials
Read all 2,781 reviewsFeatures
PRO
PRO Plus
For the past 52 years, Harold Averkamp (CPA, MBA) has
worked as an accounting supervisor, manager, consultant, university instructor, and innovator in teaching accounting online. He is the sole author of all the materials on AccountingCoach.com.
Read 2,781 Testimonials
