Difference between Straight Line Method and Double Declining Depreciation

Most companies use the straight-line method to record depreciation for property, plant, and equipment. The straight-line method results in an equal amount of depreciation being recorded each year of an asset's useful life. The double-declining balance method, on the other hand, results in higher amounts of depreciation being recorded in the early years of the asset's life and lower amounts of depreciation being recorded in the later years of an asset's life.
Both the straight-line method and double-declining method result in the same total amount of depreciation being recorded over the asset's useful life.
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[@dhoni01001]

I hate accounting. Thanks for explaining

[@MyFinancialFocus]

I love seeing how creative the bookkeeping can get with depreciation.

[@jkks2480]

Thank you I’m going to have test on ppe real soon this is perfect time

[@ochicoloto3524]

nice demo. I love illustrations. Question: what if you take the asset out of business at year 4?

[@suleymanarifcakr4990]

CLEAR! THANKS!

[@davidahrens2841]

Do Autos used for business have a zero salvage value? Ie are they DB 200 down to zero in year five? Thanks

[@marineships1369]

Thanks

[@mattyboy59]

Can you please explain why salvage value is not subtracted while calculating yearly depreciation for double declining method

[@youmakemeunpocoloco-_-7363]

I think it's because you already subtract the salvage value in the Straight-Line method before using the double declining method. So basically, you find the Straight-line method to find the depreciation value, and then you double the depreciation rate only making it from like 10% to 20%, and subtracting the salvage value again just wouldn't make any sense.

[@kirilbabov8697]

Nice video, thanks 😊

[@Edspira]

Welcome 😊

[@thomasjoseph2252]

I hope the salvage value has to be deducted in the beginning.