What is the major difference between 'Depreciation on Asset' and 'Impairment of Asset' ? - Answeree
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Depreciation of assets in the allocation of assets whose value is placed on the balance sheet. It is a kind of tangible asset that may incur a cost.

While Impairment of assets in the assets of a company whose value in the market is less than the actual price entered in the balance sheet. They are usually long-term assets. The longer the span the greater the impairment.image

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Depreciation of assets is the wear and tear overtime of physical goods and structure of a company or an organization.Assets can fixed assets which includes machineries,eequipments,fixtures and fittings,motor vans etc.Depreciation cost can be allotted yearly to a business revenue over a period of time till it gets to the last year with a zero all this is so done so that that asset can be acquired swiftly in later years.
While on the other hand impairement of assets is an asset that it's price in the balance sheet is higher than the present market value of it. This happens when the amount of the asset can't be recovers. This is to say that the amount of future cash flow from an asset is less in value than what is being recorded in the balance sheet.
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