Other than the legal compulsion,why should depreciation be provided for in the Accounts?

Every asset hasa life span. After that the asset has to be replaced. To make a provision for the replacement and to get benifits in taxation as amount of yearly depreciation is deductable from profits ,depreciation has to be provided for assets.

Depreciation reserves the value of the asset which enables you to maintain your assets to ensure effective production capacity. On the other hand, depreciation is used to calculate the direct cost of your product/service.