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"We're able to amortize it over several users," Mr. Farkas said.
"The costs for the first hour or two were just so big that we really needed a season to amortize it," Mr. Newman said.
This is not illegal, but if they write off the goodwill, they don't have to amortize it over the next 40 years, which is a benefit to future earnings.
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But US Airways is much smaller and flies much shorter routes than those airlines, making it harder to amortize its costs.
When Groupon was getting ready to go public, it tried to amortize its user acquisition expense, claiming that its customers would continue to buy more stuff over time.
So even if you save $700 per year owning the hybrid, it will take nearly ten years to amortize its higher sticker price, unless the price of gasoline escalates exorbitantly.
Consequently, it passed a law prohibiting auditors from prescribing any particular accounting treatment of the credit thereby allowing companies to flow the credit through to earnings all at once or amortize it as they pleased.
Mr. Martel also declined to discuss his advance, but said, "Frankly, with all the years it took to write this book, if you amortize it out, it's not as much as one would like it to be".
That's when the Financial Accounting Standards Board (FASB) is expected to let firms acquiring other firms expense the goodwill, rather than amortize it.
That's when the U.S. Financial Accounting Standards Board (FASB) is expected to let companies that acquire others expense the goodwill, rather than amortize it.
"They take a fraction of your assets, amortize it and apply it as income," Mr. Prom said.
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