depreciation

American  

[dih-pree-shee-ey-shuhn] / dɪˌpri ʃiˈeɪ ʃən /

noun

1. decrease in value due to wear and tear, decay, decline in price, etc.

2. such a decrease as allowed in computing the value of property for tax purposes.

3. a decrease in the purchasing or exchange value of money.

4. a lowering in estimation.

---

depreciation British  

/ dɪˌpriːʃɪˈeɪʃən /

noun

1. accounting

   1. the reduction in value of a fixed asset due to use, obsolescence, etc

   2. the amount deducted from gross profit to allow for such reduction in value

2. accounting a modified amount permitted for purposes of tax deduction

3. the act or an instance of depreciating or belittling; disparagement

4. a decrease in the exchange value of currency against gold or other currencies brought about by excess supply of that currency under conditions of fluctuating exchange rates Compare devaluation

---

depreciation Cultural  

1. A decline over time in the value of a tangible asset, such as a house or car.

---

Other Word Forms

• nondepreciation noun
• predepreciation noun
• redepreciation noun
• underdepreciation noun

Etymology

Origin of depreciation

An Americanism dating back to 1730–40; depreciate + -ion

Example Sentences

Adjusted earnings before interest, taxes, depreciation and amortization—one of the company’s preferred metrics—increased to 3.20 billion euros from 3.13 billion euros.

From The Wall Street Journal

The company expects to have $205 million in earnings before interest, taxes, depreciation and amortization this year.

From The Wall Street Journal

At the midpoint of the forecast range, Instacart’s guidance for first-quarter adjusted earnings before interest, taxes, depreciation, and amortization also beat expectations.

From Barron's

The Chinese semiconductor manufacturer’s expansion is driving higher depreciation and operating expenses, he says.

From The Wall Street Journal

The delivery giant said Wednesday it expects adjusted earnings before interest, taxes, depreciation and amortization of $675 million to $775 million for the first quarter.

From The Wall Street Journal

Related Words

• deflation
• reduction
• slump