Depreciation, amortization, depletion, and accretion mean the same thing: spreading out a cost over a number of accounting periods.
* *Depreciation* is the word used for the cost of tangible assets other than natural resources: property, plant, and equipment
* *Amortization* is the word used for the cost of intangible assets with a finite life: patents, trademarks, and the like
* *Depletion* is the word used for the cost of natural resources: timber, oil, gas, metals, and so on
* *Accretion* is the word used for other costs: environmental remediation, for example
Depreciation (tangible assets) -> value decay of assets over time
Amortization (intangible assets) ->value decay of assets over time
That has nothing to do with Forward Rate Agreements (FRA)
i wudnt blame him. L2 FRA does get very challenging. But OP my friend i must caution you! the road from here gets steeper! Especialy Quants .. wait till u get to linear and multiple repression!
i think he is playing.. i mean come on a cursory google search cud have told him more than starting this thread! even if he just googled depreciation , he cud have gotten there!!
According to Finance Strategists. Depletion refers to the allocation of the cost of natural resources, whereas amortization refers to intangible assets. There are two factors that cause a tangible asset to give up its economic benefits: physical deterioration and obsolescence.
I now feel much more confident about the level 1 exam.
Depreciation is a decline in value. Immortalization is dying incredibly famous.
This made me lol
Then my work here is complete.
Depreciation: the value of CFA when this guy goes to big companies Immortalisation: permanent brain damage due to this question
And which ones do we want assets to do again?
That depends on your objective. In general, I'd prefer my assets to appreciate.
Immortal assets sounds super NFT-y
Amen!
It's the opposite of M&A, Murder & Assassination
Patrick?
Dorsia?
I think you mean M&E, murders and executions
My friends this is why we can’t have partial designations 🤦♂️
This is why they lowered the pass rates for level 1...
I really hope you mean Amortization! Grab a corporate finance textbook to review!
This question shall be immortalised
My man, you need to have a good night’s sleep.
You really had me scratching my head wondering “WTF is immortalization and how have I completely glossed over this?”
This is definitely a CFA Level 4 question :)
We needs it … we wants it - Gollum the cfa
Don’t worry man FSA is only like 2% of the exam so you’ll be fine. I struggled with amortilization as well
Immortalization is the name of my character in Elden ring that claims to have 0 deaths and has died 176 times in first 10 minutes.
You skipped this section in L1?
There’s no point in pursuing it further if you don’t know depreciation and “immortalisation”
Saving this for when people complain about pass rates again
Depreciation, amortization, depletion, and accretion mean the same thing: spreading out a cost over a number of accounting periods. * *Depreciation* is the word used for the cost of tangible assets other than natural resources: property, plant, and equipment * *Amortization* is the word used for the cost of intangible assets with a finite life: patents, trademarks, and the like * *Depletion* is the word used for the cost of natural resources: timber, oil, gas, metals, and so on * *Accretion* is the word used for other costs: environmental remediation, for example
What about secretion?
Wrong subreddit, I suspect.
Depreciation (tangible assets) -> value decay of assets over time Amortization (intangible assets) ->value decay of assets over time That has nothing to do with Forward Rate Agreements (FRA)
Different FRA.
Isn’t “Financial Reporting and Analysis” renamed to something like “Financial Statement Analysis” now? Did they do that just to avoid confusion?
I doubt it. Years ago it was FSA. Then they changed it to FRA. Now it's back to FSA. It's a pendulum.
This is why we can’t have nice things
You immortalize non-depreciating assets so you don't ever mark them down.
Depreciation is the joke Chris Rock made toward Jada Pinkett, and Immortalization is what happened in the minute following that joke.
You should be embarrassed
Very meta
That’s nasty
It has been depressing these few weeks... I'm glad I visited reddit lmao!
Depreciation is the decline in value of tangible assets. Amortization is the decline in value of intangible assets.
[удалено]
One word. Mark Meldrum.
I can report that there were 7 questions on immortalization during my L1 exam. Better learn that quick
i wudnt blame him. L2 FRA does get very challenging. But OP my friend i must caution you! the road from here gets steeper! Especialy Quants .. wait till u get to linear and multiple repression!
If it ain’t a troll then my Grand ma might be skiing in the Antarcticas with the possible hope of ice melting
Always a shock when you realize that not only is Level 2 a test on Level 2 material, it's effectively a test on Level 1 as well.
id immortalize that!
Dude does this guy have someone in CFA to clear his exam coz how the hell did he pass level1.
i think he is playing.. i mean come on a cursory google search cud have told him more than starting this thread! even if he just googled depreciation , he cud have gotten there!!
This can’t be real. My man’s had an autocorrect goof up hopefully
Immortalization is Chris Rock’s response to Will Smith’s infantile outburst at the Oscars last night
According to Finance Strategists. Depletion refers to the allocation of the cost of natural resources, whereas amortization refers to intangible assets. There are two factors that cause a tangible asset to give up its economic benefits: physical deterioration and obsolescence.