Question

What is the purpose of amortisation?

Answer 1

The purpose of amortisation is to bring about a systematic reduction in the value of an intangible asset. The intangible assets include goodwill, patents, trademarks etc.

Also read:

• True and False Questions on Depreciation
• What Is Depreciation
• MCQs on Depreciation
• What Is a Fixed Asset
• MCQs on Goodwill
• Intangible Assets

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