What is the Effective Interest Method? - Definition | Meaning | Example
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Amortization Definition | Canadian Mortgage, Insurance, & Financial Glossary
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What is an Amortization Schedule - Definition Meaning Example
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amortization financial definition of amortization : Amortization The repayment of a loan by installments. Amortization 1. A tax deduction for the gradual consumption of the value of an asset, especially an intangible asset. For example, if a company spends $1 million on a patent that expires in 10 years, it amortizes the expense by deducting $100,000 from its taxable income over the course of 10 years ...Amortization Term The period of time over which a mortgage or other loan is amortized. See also: Repayment period. term, amortization The number of years over which a loan will be completely paid by regular monthly payments of principal and interest.Terms of 20,25,and 30 years are common with residential mortgages.New regulations allow terms as long as ...Amortization is the paying off of debt with a fixed repayment schedule in regular installments over a period of time for example with a mortgage or a car loan. It also refers to the spreading out ...Amortization definition is - the act or process of amortizing. Recent Examples on the Web. Adjusted earnings before interest, taxes, depreciation and amortization—which excludes impairment charges—was $1.24 billion in the first quarter, up 33% from a year ago. — Costas Paris, WSJ, "Maersk Swings to Loss, Warns Trade Tensions Hitting Shipping Demand," 24 May 2019 For example, the ...Amortization – definition and meaning. Amortization is a term people commonly use in finance and accounting. However, the term has several different meanings depending on the context of its use. Amortization may refer the liquidation of an interest-bearing debt through a series of periodic payments over a certain period. In most cases, the ...Amortization of Assets. Amortization means something different when dealing with assets, specifically intangible assets, which are not physical, such as branding, intellectual property, and trademarks. In this setting, amortization is the depreciation of such assets, over time, as marked by a company’s accounting team.Amortization definition, an act or instance of amortizing a debt or other obligation. See more.Amortization is the practice of spreading an intangible asset's cost over that asset's useful life.Intangible assets are not physical assets, per se. Examples of intangible assets that are ...amortization definition: The definition of amortization is the process of setting aside money to pay off a debt over time. (noun) The yearly premium for car insurance divided into monthly payments is an example of amortization. ...The length of time over which various intangible assets are amortized vary widely, from a few years to as many as 40 years. As a general rule, an asset should be amortized over its estimated useful life, or the maturity or loan period in the case of a bond or a loan. If an intangible asset has an indefinite life, such as goodwill, it cannot be amortized.
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