Amortization is the amount by which intangible assets like goodwill, patents, license, copyrights, and trademarks are written down in any period that they are utilized by the firm to generate benefits.

Question

Quizplus · Accepted Answer

Amortization is the process of allocating the cost of intangible assets over their useful life. It is a non-cash expense that reflects the decline in value of the intangible assets over time as they are used in business operations. Therefore, the statement is true.

Amortization Is the Amount by Which Intangible Assets Like Goodwill