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The amortizing process and its calculations are very difficult to understand and applying them to your assignment becomes the hardest part if your concept is not clear about this subject. Therefore, amortization assignment help is available 24/7 for you to save you from this hassle. We have a team of experienced and qualified members who are expert in this subject and will help you write your assignment. Our online service for amortization assignment help is available in UK, USA, UAE, Canada and Australia.
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Let’s Try to Understand What Amortization is?
It is paying off the debt over a fixed period of time in fixed repayment schedule. It is also referred as a process of allocating the cost of an intangible asset over a period of time. The word is used for two separate processes, amortization of loan and amortization of asset. Examples of amortization are paying car loan, mortgage in case of loan. It includes both the principal amount and interest amount that has to be paid. In case of an asset, it means writing off the value of an intangible asset over the estimated life of the asset after deducting the residual value of that asset.
- Advantage of amortizing expense
Amortizing business expense helps to prepare accurate data of company’s finance. For example, a company writes off the total cost of the expense in the year it is purchased. In this case, revenue earned in the current year will look less but if it spread the expense over a period of several years, ledger will reflect the true cost of doing business. In addition, spreading the expense will help the company to make its tax liability more consistent.
- Loan amortizing schedule:
It is a table detailing each periodic payment on an amortizing loan as generated by an amortization calculator.
- The formula of amortization
It is assumed that the first payment won’t be paid on 1st day but will be after one full period into the loan, to calculate periodic payment. Formula is:
A= periodic payment amount
P= principle amount
i= interest rate
n= total number of payments
The above formula is valid only if interest is charged for the loan, if not the formula to calculate periodic payment will become,A=P/n
So by now, you may have understood that amortization is not a simple subject. You’ll need help and there are a lot of reasons you can trust our online service for amortization assignment help. Our team of member consists of qualified, professional and experienced teachers who are well aware of the subject and can guarantee to complete your assignment with 100 percent accuracy and simplest possible way. Amortization assignment help that our experts write would be error free.
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