I understand that if you set the no_switch argument of the VDB function to false, your calculation will switch to straight line (SLN) once SLN is great than the declining balance.

However, I cannot seem to get this to work. By way of example:

=SLN(2400,300,10) equates to 210 of depreciation expense per year (for ten years)

=VDB(2400,300,10,0,1,2,FALSE) equates to the following depreciation expenses per year:

Year 1 480.00

Year 2 384.00

Year 3 307.20

Year 4 245.76

Year 5 196.61

Year 6 157.29

Year 7 125.83

Year 8 100.66

Year 9 80.53

Year 10 22.12

My question is why doesn’t this formula switch to straight-line in year 5 when the VDB balance is obviously less than straight-line????

Any guidance would be much appreciated!

Kevin