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Paying for something really expensive with many small payments over a period of time.
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∙ 14y ago
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What is the difference between amortization and sinking fund?
sinking fund is the setting aside of money for instance by the government to a pool to reduce its budget deficit while amortisation is the paying off of debts over a period of time with a decreasing principal balances and interests
Calculate average loan life of a term loan?
It will be different from final maturity, in case this is an amortising loan. In essence, you should be looking at this particular term loan as a series of shorter term loans with different final maturities. So to calculate the average life, you should calculate the average of these multiple maturities weighted by the debt sums (aka debt amortisation sums). - - - - - Say if you have borrowed £100 with semi-annual amortisation over a period of 10 years, £5 is due in 6 months, another £5 in 1 year... another £5 in 9.5 years and the final £5 in 10 years. In Excel use SUMPRODUCT function to multiply an array of maturities (0.5,1,...,9.5,10.0) by an array of debt sums (£5,£5,...,£5,£5). You'll then divide the result over the total amount (£100). The result should be 5.25 years. This is a reflection of the fact that your liability decreases over time.
What is meant by the goal of maximization of shareholders wealth?
The goal of maximization of shareholder wealth is meant by; first, in most cases
What is meant by the expression efficient market?
what is meant by the expression efficient market.briefly explain the different forms of efficient market
35.000 Naira is how many dollars?
If you meant 35 NGN, the answer is..0.232855 U.S. dollars.If you meant 35000 NGN, the answer is... 232.85500 U.S. dollars
What is the meaning of amortisation of translation reserve?
Amortization or amortisation is the process of decreasing or accounting for an amount over a period of time
Is amortisation of goodwill a disallowable expense?
i don't no, but amortization of lease is disallowable expense
When do you use ebit versus ebitda?
The difference between EBIT and EBITDA is depreciation and amortisation - why include or exclude depreciation and amortisation? In both cases we are trying to estimate a base level of cash flow from the business. The two key components of calculating this base level of cash flow are the profits that the business produces and the on-going investments required by the business to achieve these cash flows - the capital expenditure that the company needs to undertake to achieve the profitability. EBIT includes depreciation and amortisation, which are not cash items, but that act as estimates (imperfect - but an estimate) of capital expenditure. EBITDA removes depreciation and amortisation and thus just focuses on the profitability of a company without considering the investment required to achieve the profitability. peace nz
What is amortisation?
Amortization is the paying off of debt with a fixed repayment schedule in regular installments over a period of time. The gradual elimination of a liability, such as a mortgage.
What is EBIDAT?
Earnings before interest and depreciation after taxes # I don't believe this person's answer is correct - after a long search I found the following meaning "Earnings Before Interest, Depreciation, Amortisation >And< Tax" #
How to amortize Intangible assets?
Only to amortize intangible assets which are recognised as finite useful life. There are tow models, one is cost model, another is revaluation model. The way to charge intangible assets' amortisation is same as charging depreciation on physical non current assets. Carrying amount (net book value) is equal cost or re-valuated amount less any subsequent accumulated amortisation and any impairment losses. However, Revaluations should be regularly made so the carrying amount does not differ from the recoverable amount (it is the higher amount of net realisable value or value in use) at the end of the reporting period. On the other hand, If the intangible assets are recognised as definite useful life, there is no need to charge amortisation on the profit and loss. But annually impairment test should be carried out. A impairment loss or a revaluation surplus will be adjusted on both income statement and balance sheet. Hope it is helpful!
What is amortisation period of intangible assets?
Normally it's 5 years with equal amounts each year so it's similar to straight line depreciation except at the end of the 5 years the asset will not be shown on the balance sheet sheet at all.
What is the difference between amortization and sinking fund?
sinking fund is the setting aside of money for instance by the government to a pool to reduce its budget deficit while amortisation is the paying off of debts over a period of time with a decreasing principal balances and interests
What are the differences between amortization and depreciation?
These are two separate financial and business related terms. Depreciation regards the loss of value of product over time due to age, wear, and obsolescence. Amortization regards the payment schedule of those goods and services financed. Amortization and depreciation are related as financiers may calculate loss of value as part of the repayment. This is especially important when cars are leased, as the amortization amount takes into consideration loss of value.
How do you spell ment as in I meant to ask you?
Meant... As in "he was meant to have it."
Is 1 is to 0.09?
It depends on WHAT it is meant to be!It depends on WHAT it is meant to be!It depends on WHAT it is meant to be!It depends on WHAT it is meant to be!
What is Homophone for meant?
The homophone for "meant" is "mint".
