Provision for depreciation

Accountancy

Hi sir , what’s the difference between depreciation and provision for depreciation. Video Details ------------- Accounting - CA Foundation (New) Concept and Accounting of Depreciation #10. Accounting for Depreciation - Gross Method

Aravind V

CA Foundation

★ 0

08-Feb-26 05:18

135

Answers (2)

Depreciation is the actual expense charged every year. This is transferred to PL. Provision for depreciation, on the other hand, is not a separate expense. It is an accumulated amount of depreciation shown in the books. This is reduced from cost of asset to arrive at net book value.

CA Suraj Lakhotia

Admin

09-Feb-26 17:24

Thank you sir

Thread Starter

Aravind V

CA Foundation

★ 0

02-Mar-26 21:15