Amortization*

2015 07 01 | Category: Offshore Glossary

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Amortisation*
The gradual elimination of liability (a loan), such as a mortgage through regular payments throughout the estimated life of the asset on which the investment is made or secured. Such fees must be sufficient to cover both principal and interest. For fixed assets, depreciation is the allowance for wear-out. For natural resources, depletion is the allowance for the wasting away of the asset.


EditorAmortization*