Caching at business layer vs Cachcing at Data Layer

I have always worked on projects where caching was done on DAL, basically just when you are about to make the call to database, it checks if data is already there in the cache and if it is, it just doesn't make the call and instead returns that data.

I just recently read about caching at business layer, so basically caching the entire business objects. One advantage I can see straight away is much better response times.

When would you prefer one over the other? and Is caching at Business Layer a common practice? Thanks.