Appreciation

Appreciation
An increase in the value of an asset over time. The increase can occur for a number of reasons including increased demand or weakening supply, or as a result of changes in inflation or interest rates. This is the opposite of depreciation, which is a decrease over time.

This term can be used to refer to an increase in any type of asset such as a stock, bond, currency or real estate. For example, the term capital appreciation refers to an increase in the value of financial assets such as stocks, which can occur for reasons such as improved financial performance of the company.

The term is also used in accounting when referring to an upward adjustment of the value of an asset held on a company's accounting books. The most common adjustment on the value of an asset in accounting is usually a downward one, known as depreciation, which is typically done as the asset loses economic value through use, such as a piece of machinery being used over its useful life. While appreciation of assets in accounting is less frequent, assets such as trademarks may see an upward value revision due to increased brand recognition.


Investment dictionary. . 2012.

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  • appréciation — [ apresjasjɔ̃ ] n. f. • 1389; bas lat. appretiatio → apprécier 1 ♦ Action d apprécier, de déterminer le prix, la valeur de qqch. ⇒ estimation, évaluation. L appréciation du tableau par l expert. Par ext. Une fausse appréciation de la distance. 2… …   Encyclopédie Universelle

  • appreciation — I (increased value) noun accrual, accruement, accumulation, added monetary worth, addition, advance in worth, gain, gain in worth, growth, growth in value, increase, increased price, increment, realization, rise, rise in value II (perception)… …   Law dictionary

  • Appreciation — Ap*pre ci*a tion, n. [Cf. F. appr[ e]ciation.] 1. A just valuation or estimate of merit, worth, weight, etc.; recognition of excellence. [1913 Webster] 2. Accurate perception; true estimation; as, an appreciation of the difficulties before us; an …   The Collaborative International Dictionary of English

  • Appreciation — is a term used in accounting relating to the increase in value of an asset. In this sense it is the reverse of depreciation, which measures the fall in value of assets over their normal life time.Appreciation is a rise of a currency in a floating …   Wikipedia

  • appréciation — APPRÉCIATION. s. f. Estimation de la valeur d une chose. Appréciation juste, raisonnable. C est un tel qui en a fait l appréciation …   Dictionnaire de l'Académie Française 1798

  • appreciation — [n1] thankfulness acknowledgment, gratefulness, gratitude, indebtedness, obligation, recognition, testimonial, thanks, tribute; concepts 12,32 Ant. criticism, disparagement, disregard, neglect appreciation [n2] increase in worth enhancement, gain …   New thesaurus

  • appreciation — Appreciation. s. f. Estimation de la valeur d une chose. Appreciation juste, raisonnable. c est un tel qui en a fait l appreciation …   Dictionnaire de l'Académie française

  • appreciation — (n.) c.1600 (with an isolated use from c.1400), from Anglo Fr. appreciation, noun of action from O.Fr. apprécier (14c.), from L.L. appretiare estimate the quality of (see APPRECIATE (Cf. appreciate)). Generally with a sense of high estimation… …   Etymology dictionary

  • appreciation — ► NOUN 1) recognition of the value or significance of something. 2) gratitude. 3) a favourable written assessment of a person or their work. 4) increase in monetary value …   English terms dictionary

  • appreciation — [ə prē΄shē ā′shən] n. 1. the act or fact of appreciating; specif., a) proper estimation or enjoyment b) grateful recognition, as of a favor c) sensitive awareness or enjoyment, as of art 2. a judgment or evaluation ☆ 3. a rise in value or price:… …   English World dictionary

  • appreciation — noun 1 understanding and enjoyment of sth ADJECTIVE ▪ deep, great, real ▪ aesthetic ▪ art, music ▪ new …   Collocations dictionary

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