Cambridge Dictionaries online Cambridge Dictionaries online

The most popular online dictionary and thesaurus for learners of English

English definition of “depreciation”

See all translations

depreciation

noun [U]
 
 
/dɪˌpriːʃiˈeɪʃən/
ACCOUNTING, TAX the amount by which something, such as a piece of equipment, is reduced in value in a company's financial accounts, over the period of time it has been in use. The loss in value reduces a company's profits, and the amount of tax it must pay: accelerated depreciation Expenses include depreciation of equipment as well as business insurance. a depreciation charge/deduction →  Compare amortization
ACCOUNTING the practice of spreading the cost of capital expenditure over several years, especially in order to improve cash flow
MONEY, FINANCE the amount by which a currency loses value in comparison with other currencies: The depreciation of the dollar affected the British economy. the depreciation of sterling against the euro Depreciation in the peso since last December could dent sales and cut profit. →  Compare appreciation
FINANCE, INSURANCE a loss of value, especially over time: After three years, this car is projected to be worth 57% of its price when new - one of the lowest rates of depreciation of any car in any class. The insurance guarantees that the goods will be replaced at their present market value, without any deduction for depreciation. →  Compare appreciation , wear and tear
→  See also accelerated depreciation , accumulated depreciation , book depreciation , tax depreciation
Translations of “depreciation”
in Chinese (Traditional) 貶值,跌價…
in Chinese (Simplified) 贬值,跌价…
(Definition of depreciation from the Cambridge Business English Dictionary © Cambridge University Press)
What is the pronunciation of depreciation?
Add Cambridge dictionaries to your browser to your website

Definitions of “depreciation” in other dictionaries

Word of the Day

glacial

made or left by a glacier

Word of the Day

Let’s celebrate! (words and phrases for parties)

by Kate Woodford,
December 17, 2014
​​​ With Christmas and New Year almost upon us, we thought it a good time to look at the language of parties and celebrations. First, let’s start with the word ‘party’ itself. To have or throw a party or, less commonly, to give a party is to arrange a party: We’re having a

Read More 

cinderella surgery noun

December 15, 2014
cosmetic surgery to the feet We have all heard of people having nose jobs, boob jobs and liposuction – but now a new trend growing in popularity in America: Cinderella surgery.

Read More