1)Diference between depreciation and amortization.3) what are derivatives.

Question

Accepted Answer

Depreciation is the decrease in value of tangible assets over time, while amortization is the decrease in value of intangible assets over time. Derivatives are financial instruments that derive their value from an underlying asset.

Depreciation applies to tangible assets like buildings, machinery, and vehicles, while amortization applies to intangible assets like patents, copyrights, and trademarks.
Depreciation and amortization are both methods of allocating the cost of an asset over its useful life.
Derivatives include options, futures, and swaps, and are used for hedging or speculation in financial markets.

Accepted Answer

Depreciation is the decrease in value of tangible assets over time, while amortization is the decrease in value of intangible assets over time. Derivatives are financial instruments that derive their value from an underlying asset.

Depreciation applies to tangible assets like buildings, machinery, and vehicles, while amortization applies to intangible assets like patents, copyrights, and trademarks.

Depreciation and amortization are both methods of allocating the cost of an asset over its useful life.

1)Diference between depreciation and amortization.3) what are derivatives.

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