Difference between Annuity and Amortization
What is the difference between Annuity and Amortization?
Annuity as a noun is a right to receive amounts of money regularly over a certain fixed period, in perpetuity, or, especially, over the remaining life or lives of one or more beneficiaries. while Amortization as a noun is in accounting, the process by which the cost of an intangible asset (such as an intellectual property right) is distributed over the projected useful life of the asset.
Annuity
Part of speech: noun
Definition: A right to receive amounts of money regularly over a certain fixed period, in perpetuity, or, especially, over the remaining life or lives of one or more beneficiaries.
Amortization
Part of speech: noun
Definition: In accounting, the process by which the cost of an intangible asset (such as an intellectual property right) is distributed over the projected useful life of the asset.Such a projection with respect to a particular asset.
We hope you now know whether to use Annuity or Amortization in your sentence.
