depreciation
n. C / Un. the loss of value in an object over time. For example, a new car is worth less money every year because of wear and tear.
n. the gradual decrease in the economic value of an asset due to physical wear, age, or obsolescence. In financial contexts, it refers to the systematic allocation of the cost of a tangible asset over its useful life.
The car's rapid depreciation surprised the new owner.
The accounting department calculates the annual depreciation of all office equipment to ensure accurate tax filings.
While some assets like real estate may appreciate, most industrial machinery is subject to steady depreciation, eventually reaching a residual value that reflects its worth as scrap metal.
From French dépréciation.
Uncountable when referring to the general process of losing value; countable when referring to specific calculated amounts in accounting.