Accelerated amortization policy in which the quota of each period ‘n’ is calculated with the formula Cn = v(e-n)/s, where ‘v’ is the cost value of the asset, ‘e’ is the expected life, ‘n’ is the order number of the period, and ‘s’ is the sum of the digits equivalent to s= e (e+1)/2.
« Back to Glossary IndexAmortization by sum of digits of the years
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