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depreciate

verb

/dɪˈpriːʃɪeɪt/

IPA:

Dictionary definition of depreciate

To decrease in value over time, due to a variety of factors such as wear and tear, obsolescence, or changes in market demand.
"High inflation can cause the purchasing power of money to depreciate."

Detailed meaning of depreciate

The term is most commonly used in reference to financial or material assets, such as stocks, real estate, or vehicles, but can also be used more broadly to refer to the diminishing value of other types of assets, such as skills, knowledge, or reputation. Depreciation can occur naturally, as a result of normal wear and tear, or can be accelerated by factors such as neglect, misuse, or changes in technology. In accounting, depreciation is used to allocate the cost of an asset over its useful life, and is recognized as an expense on a company's income statement. Overall, the concept of depreciation reflects the idea that nothing lasts forever and that the value of things inevitably diminishes over time.

Example sentences containing depreciate

1. The car's value began to depreciate rapidly after the first year.
2. Economic fluctuations can cause assets to depreciate unexpectedly.
3. It's important to consider how assets may depreciate before investing.
4. Over time, technology products tend to depreciate as newer models emerge.
5. The housing market can be volatile, causing home values to depreciate.
6. Businesses must factor in how equipment will depreciate over time.

History and etymology of depreciate

The verb 'depreciate' has its etymological roots in Latin. It is derived from the Latin word 'depretiatus,' which is a past participle form of 'depretiare.' This Latin term consists of 'de' (meaning 'down' or 'away from') and 'pretium' (meaning 'price' or 'value'). Thus, 'depretiare' conveyed the idea of reducing or decreasing in price or value. As 'depretiare' made its way into English, it evolved into 'depreciate,' retaining its fundamental meaning of a decrease in value. The etymology of 'depreciate' effectively captures the notion of an item or asset losing value over time, whether due to wear and tear, obsolescence, or changing market conditions, highlighting its role in describing the economic phenomenon of declining worth.

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Further usage examples of depreciate

1. Some collectibles appreciate in value, while others depreciate.
2. Inflation can erode savings and cause money to depreciate.
3. Regular maintenance can slow down the rate at which assets depreciate.
4. Currency values can fluctuate, causing foreign investments to depreciate.
5. Wise financial planning accounts for how assets may depreciate in value.
6. It is crucial to understand how currencies depreciate over time.
7. If you don't maintain the property, it will depreciate faster.
8. Economists predict that the new policies will cause the currency to depreciate.
9. As cars age, they generally depreciate in value.
10. Many fear that the housing market will depreciate in the coming months.
11. If we don't take action, the overall asset value might depreciate.
12. Certain collectibles, contrary to expectation, can depreciate rapidly.
13. Technological advancements can make electronic devices depreciate quickly.
14. The luxury goods depreciate as soon as they leave the store.
15. Investors must be cautious, as stocks can depreciate without warning.
16. I've heard that the brand's quality has caused it to depreciate in the market.
17. If you buy this type of vehicle, it will depreciate slower than others.
18. Market analysts disagree on whether the asset will depreciate or not.
19. Some argue that fiscal stimulus can cause a nation's currency to depreciate.
20. This financial strategy will help ensure that your investment doesn't depreciate too quickly.
21. As resources become scarce, the value of the goods may depreciate.
22. The mismanagement of the company has led some to predict that its stock will depreciate.
23. Keeping track of how assets depreciate is essential for accurate accounting.
24. It's common knowledge that certain materials depreciate with exposure to harsh weather.