What is depreciation?
A)the decline in value of a future good due to the time we have to wait to receive that good
B)the decline in value of expected future income, due to inflation
C)the tendency of money in a bank account to lose value over time
D)the loss in an asset's value over time
E)the accumulation of money in an interest-bearing account over time

Question

Quizplus · Accepted Answer

Depreciation refers to the reduction in the value of an asset over time, often due to wear and tear, usage, or obsolescence. This concept is commonly applied to fixed assets like machinery, vehicles, and buildings in accounting to allocate the cost of the asset over its useful life.

What Is Depreciation