Definition of Amortization
the process of determining the cost of something intangible over time
Examples of Amortization in a sentence
You can try to use amortization to determine the value of something unseen, such as friendship or memories, but ultimately that might still be impossible. 🔊
Amortization is most often used in business when discussing interest, which is an intangible cost of something. 🔊
Amortization is often used to determine debt, which is an intangible amount of money that must be paid at a later date. 🔊
When you reduce the amount of debt you own by making a payment, you are participating in the process of amortization, affecting an intangible amount of something. 🔊
Anytime you attempt to quantify the worth of something intangible, you are making use of the amortization process. 🔊
Other words in the Money and Business category:
Most Searched Words (with Video)
