If you have ever had to pay back a loan, you have already experienced amortization. When you get a loan, the lender spreads out your repayment amount over a series of fixed payments. Once you finish ...

When a business purchases intangible assets, it must report the purchase on its balance sheet. However, businesses often spread the cost of larger purchases over several years in a process known as ...

Amortization is the gradual repayment of a debt over a set period of time. Examples include a monthly mortgage payment, student loan, or a credit card balance. In order to amortize a loan, your ...

Amortization refers to the repayment of loans in which part of each payment goes to the loan’s principal and part to interest. With mortgages, amortization means that borrowers pay off their loans ...

The terms "capitalization" and "amortization" refer to the same principle when talking about business assets -- spreading the cost of the assets over a number of years, as opposed to accounting for ...

An asset is a resource that generates an economic benefit for a business. An intangible asset is a non-physical asset, such as a copyright, patent or trademark. You recognize intangible assets in your ...