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Real Estate Dictionary

Real Estate Term: AMORTIZATION OF DEFERRED CHARGES

AMORTIZATION OF DEFERRED CHARGES - a procedure that does for intangible assets what depreciation accounting does I tangible assets. Under generally accepted accounting principles (GAAP). the cost of an intangible asset is to be amortized (written off) usually over the life of the asset, Typically applies to cost incurred arrange loans and leases: these costs are written off over the term of the loan or lease.

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