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But good will was amortized over far more time than hard assets.
Net income was restated to reflect a reduction of taxes after a potential tax liability was amortized, the company said.
The pump acquisition cost was amortized over 5 years.
But that doesn't mean it fully meets the criteria for what can be amortized.
The $80 premium will be amortized evenly for 10 years, for an annual amortization of (80 / 10) or $8.
The plan would extend a provision that permits companies to fully depreciate in the first year certain purchases that would normally be amortized over as much as 20 years.
Thus, financial investments cannot be amortized completely.
Under present accounting standards, goodwill must be amortized.
The remaining $63 million will be amortized over about five years.
This approach requires companies simply to combine their book values, creating no goodwill to be amortized.
Items booked in capital accounts are considered assets and are amortized, or deducted over longer periods.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com