Thursday March 30 , 2017


Amortization or amortisation is the procedure of rising or accounting for, an amount over a period of time. The word comes from Middle English amortisen to kill, estrange in mortmain, from Anglo-French amorteser, change of amortir, from Vulgar Latin admortire to kill, from Latin ad- + mort-, mors death. Particular instances of the term include:

* Amortization (business), the allocation of a lump sum amount to different time periods, particularly for loans and other forms of finance, including related interest or other finance charges.

1. Amortization schedule, a table detailing each periodic payment on a loan (typically a mortgage), as generated by an amortization calculator.
2. Negative amortization, an amortization schedule where the loan amount actually increases through not paying the full interest

* Amortized analysis, analyzing the execution cost of algorithms over a sequence of operations.

* Amortization of capital expenditures of certain assets under accounting rules, particularly intangible assets, in a manner analogous to depreciation.

* Amortization (tax law)

Amortization is also used in the context of zoning regulations and describes the time in which a property owner has to relocate when the property's use constitutes a preexisting nonconforming use under zoning regulations.

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