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Amortization is the practice of spreading an intangible asset's cost over that asset's useful life. Depreciation involves expensing a fixed asset as it's used to...
Amortization typically refers to the process of writing down the value of either a loan or an intangible asset. Amortization schedules are used by lenders, such as...
Amortization is the process of spreading out a loan into a series of fixed payments. The loan is paid off at the end of the payment schedule. Some of each payment goes toward interest costs, and some goes toward your loan balance.
What Is the Definition of Amortization? In accounting, amortization refers to the process of expensing an intangible asset's value over its useful life. It is comparable to the depreciation of tangible assets.
In accounting, amortization is a method of obtaining the expenses incurred by an intangible asset arising from a decline in value as a result of use or the passage of time. Amortization is the acquisition cost minus the residual value of an asset, calculated in a systematic manner over an asset's useful economic life.
Amortization is an accounting process that systematically allocates an asset or a long-term liability's cost over its useful life. It spreads out the asset or liability cost over its lifespan and reflects its actual value over time.
Amortization occurs when the value of an asset, usually an intangible asset, like research and development (R&D) or a trademark, is reduced over a specific time...
Amortization is the process of incrementally charging the cost of an asset to expense over its expected period of use. Doing so incrementally shifts the recorded amount of an asset from the balance sheet to the income statement of a reporting entity.
1. : the act or process of amortizing. 2. : the result of amortizing. Examples of amortization in a Sentence. Recent Examples on the Web The company books about $800 million in annual sales and throws off $80 million to $100 million in earnings before interest, taxes, depreciation and amortization (Ebitda), Stuller says.
Amortization is a process of paying off a loan over time through regular payments. These payments are typically made up of both principal and interest. The principal is the amount borrowed, while the interest is the cost of borrowing the money.