Which of the following is NOT considered a basis for depreciation?

Depreciation refers to the reduction in value of a property over time, and it can be attributed to several factors. Functional obsolescence occurs when a property's design or features become outdated or less desirable, leading to a decrease in its value. Economic obsolescence refers to a loss of value due to external factors, such as changes in the surrounding environment or economy that negatively impact the property's desirability. Physical deterioration involves the wear and tear of a property over time due to age or neglect, ultimately affecting its market value.

Market enhancement, on the other hand, is not a factor that contributes to depreciation. Instead, it refers to improvements or positive changes in the market that can increase a property's value. Therefore, identifying market enhancement as the choice that does not fit within the typical basis for depreciation is accurate, as it indicates a positive influence rather than a diminishing one.