Hi Narendra,
a dependent business object is a business object which cover a reuse functionality and can be included into a business object. It comes with his persistency and behaviour. But it does not live on its own. One example is the attachment folder. There are no attachments without an host business object. But many business objects can host this dependent one and integrate it in their context.
Local development object is a different category refering to software distribution. Local objects can be of any kind: classes, reports, tables, business objects or dependant objects. They have in common that they exist only in the system in which they have been created and cannot be transported into a different system with the means of the transport organizer.
Kind regards
Thea