Depreciation expense

Depreciation is the amount allocated  over a useful life of an asset.Depreciation is calculated by dividing the cost of an asset over it's useful life to know depreciation for current period.
      Depreciation expense is non-cash expense.It is debited in the profit & loss account.Depreciation calculated is reduced from the cost of asset to know it's book value.

Depreciation :The diminution in the value of assets is a loss. It must be taken into account for
determining profit and Loss.
The entry is:
         Depreciation account Dr.
                 To Assets (say machinery A/c)

Depreciation is a loss and will be transferred to the debit side of Profit & Loss A/c. The above entry will reduce the amount of the assets.