Home Tips. 1  Home Warranty 101 Learn about the difference between home insurance and home warranty, and why you may need both types of coverage. 2  Home Maintenance Top Tips Simple ideas to help you maintain your systems and appliances and keep them running smoothly.
Amortization is recorded in the financial statements of an entity as a reduction in the carrying value of the intangible asset in the balance sheet and as an expense in the income statement.
When you capitalize an expense and then amortize the costs, you spread the cost over an extended period of time. Suppose you decide to amortize a $60,000 expense over a five-year period.