The loss of value in a car over time is called:
A) maintenance.
B) loan payment.
C) sales payment.
D) commission.
E) depreciation.

Question

Quizplus · Accepted Answer

Depreciation refers to the decrease in the value of an asset over time, and this is particularly relevant for cars. As soon as a new car is purchased, it begins to depreciate in value, and this reduction in value continues over time as the car is used, ages, and experiences wear and tear. Maintenance, loan payments, sales payments, and commission are all related to the cost or financial transactions associated with owning or buying/selling a car, but none of these terms specifically refer to the loss of value over time.

The Loss of Value in a Car Over Time Is