amortization

Definition 1

The gradual elimination of a liability, such as a mortgage, in regular payments over a specified period of time. Such payments must be sufficient to cover both principal and interest.

Definition 2

Writing off an intangible asset investment over the projected life of the assets.

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Related Terms

negative amortization, graduated payment, amortization method

'amortization ' appears in the definitions of these terms on BusinessDictionary.com



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