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amortization

American  
[am-er-tuh-zey-shuhn, uh-mawr-] / ˌæm ər təˈzeɪ ʃən, əˌmɔr- /

noun

  1. an act or instance of amortizing a debt or other obligation.

  2. the sums devoted to this purpose.

amortization British  
/ əˈmɔːtɪzmənt, əˌmɔːtaɪˈzeɪʃən /

noun

    1. the process of amortizing a debt

    2. the money devoted to amortizing a debt

  2. (in computing the redemption yield on a bond purchased at a premium) the amount that is subtracted from the annual yield Compare accumulation

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
amortization Cultural  

  1. A term that refers either to the gradual paying off of a debt in regular installments over a period of time or to the depreciation of the “book value” (that is, the standard assessed value) of an asset over a period of time.

Other Word Forms

  • amortizement noun

Etymology

Origin of amortization

First recorded in 1665–75, amortization is from the Medieval Latin word a(d)mortizātiōn- (stem of admortizātiō ). See amortize, -ation

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

The company isn’t expected to report positive earnings before interest, taxes, depreciation, and amortization, or Ebitda, until 2030.

From Barron's

Adjusted earnings before interest, taxes, depreciation, and amortization came in at $5.6 billion, down by the same percentage.

From Barron's

Adjusted earnings before interest, taxes, depreciation and amortization came in at $49 million for the fourth quarter, up from $42 million a year earlier.

From MarketWatch

Earnings before interest, taxes, depreciation, and amortization, or Ebitda, margins are “in excess of 30%.”

From Barron's

His financial model assigns Warner Discovery’s studios, streaming, and TV networks segments respective enterprise values of 12 times, 15 times, and 5.5 times earnings before interest, taxes, depreciation, and amortization.

From Barron's

Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023

Idioms from The American Heritage® Idioms Dictionary copyright © 2002, 2001, 1995 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company.