Question

Amortization applies to ________________.

• A. Current Assets
• B. Wasting Assets
• C. Intangible Assets
• D. Non - Current Assets

Answer 1

Answer: (C)

Intangible Assets

Amortization of intangibles is the process of expensing the cost of an intangible asset over the projected life of the asset. Intangible assets, such as patents and trademarks, are amortized into an expense account. Tangible assets are posted to expenses through depreciation.