Example of Accelerated Depreciation Calculation: Cost to be Salvage Value Useful Life Straight-Line Double Book Depreciation: DDB Method Depreciated Factor Declining Factor (Double Declining Balance) DDB Cost Residual 72, 340 10,000 5 0.2 0.4 Method Value/Useful Life . Fixed asset cost: $72,340 Years of Useful Initial cost and Double- Annual Accumulated Net Remaining . Useful life: five years Life then the Carry Declining Depreciation Depreciation Underpreciated . Salvage value: $10,000 Forward Book Factor Expense (Reserve for (Net Book Value Depreciation) Value) 1 $72,340 0.4 $ $ 2 0.4 0.4 0.2 *5 0.2 $ Salvage Value *DDB is used for the first three years, then the SL method is used for the last two years. Therefore, the Double-Declining factor is shown for 3 years and the Straight-Line factor is shown for year 4 and 5