Bookkeeping

Now, consider a different scenario where you deposit $1,000 monthly for 30 years. This would result in 360 payments, and calculating the future value for each payment, as done in the first example, would be impractical due to its time-consuming…

Like the wear and tear in the physical or tangible assets, the intangible assets also wear down. Owing to this, the tangible assets are depreciated over time and the intangible ones are amortized. A special repayment is an additional payment…