physical depreciation or physical deterioration Definition | Business Dictionaries from AllBusiness.com

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Business Definition for: physical depreciation or physical deterioration

physical depreciation or physical deterioration

loss of value from all causes of age and action of the elements. Sources of physical depreciation include breakage, deferred maintenance, effects of age on construction material, and normal wear and tear . depreciation expense for tax purposes is generally based on lives set by law for the given type of property and is not necessarily related to the useful life of the property.

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