Education Technology

Declining Balance

Activity Overview

Price is what you pay, value is what you get. [Warren Buffet] When it comes to finance, value is not what you assign, rather what someone else is prepared to pay, if that amount is less than you paid, then the object has depreciated. The rate at which something depreciates is often based its current value, this is called the declining balance method.

This activity includes a video tutorial.


  • Calculate Depreciation amount
  • Calculate balance
  • Understand non-linear
Syllabus Outcome:
  • MALS6-6


  • Depreciation
  • Balance
  • Declining / Reducing

About the Lesson

Students watch the video tutorial (link below) to help understand the how the declining balanced method of depreciation works and different ways to use their calculator to explore and calculate. The worksheet contains simple examples plus more complicated real life practical problems including applications to taxation.

Watch the activity tutorial