amortisatsiooniks
Amortisatsiooniks, often translated as amortization in English, refers to the systematic allocation of the cost of an intangible asset over its useful life. Unlike depreciation, which applies to tangible assets, amortization is specifically for assets that lack physical substance but have economic value, such as patents, copyrights, trademarks, and goodwill. The principle behind amortization is to match the expense of using the intangible asset with the revenue it helps generate over time, reflecting a more accurate picture of profitability.
The process of calculating amortization typically involves determining the asset's cost, its estimated useful life, and
Amortization is an important accounting practice that impacts a company's financial statements. It reduces the carrying