Amortization - Definition

The gradual elimination of debt in regular payments over time. This Amount must be high enough to cover both Principal and Interest. Another definition of amortization is similar to Depreciation. This is the deduction of Capital expenses over time, as a method of measuring the consumption of the value of Long-term assets, such as equipment or buildings. Because this time period is in effect the life of the Asset, it is also a specified time period. The period as a whole is known as the Amortization term. It is often pattern of payments is organized in what is known as an Amortization schedule, which is a table detailing the payments made and anticipated, in terms of date and amounts.

Terms near "Amortization"

Amortization method
Amortization of premium
Amortization schedule
Amortization term
Amortized value
Ready to Trade!
First you'll need an online broker. See how much you can save by visiting Forexbite Broker Center.

Amortization - Related articles & news

Top 5 factors that affect exchange rates ...

There are many factors that affect exchange rates of currencies. However some are more important in currency trading than others. These are; Interest and Inflation rates, Trade balance, Currency market speculation, Foreign investment and Central bank market intervention. Learn how to use these factors in your forex tra ...

Forex Navigation