What is Amortisation?

Jordan Macey

March 19, 2022

What is Amortisation? Guide
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Small Business Accounting

In business accounting, amortisation is a method of calculating the value of a business asset over time. It is the process of spreading out the cost of an asset over its useful life.

In relation to loans, amortisation refers to the spreading out of loans into a series of fixed monthly installments.

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