How Often Do You Change Brake Fluid? Brake fluid is something thatâs important for the safe operation of your vehicle, but most people donât know how or when it should be changed. The average person drives anywhere from ten to fifteen thousand miles per year, and they use their brakes about 75,000 times.
DEFINITION of 'Depreciation'. 1. A method of allocating the cost of a tangible asset over its useful life. Businesses depreciate long-term assets for both tax and accounting purposes. 2. A decrease in an asset's value caused by unfavorable market conditions.
Depreciation is the process of reducing the value of a fixed asset. Depreciation expense is determined by the cost of the asset, the useful life, projected salvage value and the method of depreciation used. A haul truck for a mining company, for example, may have a purchase price of $1 million.