From ACT Wiki
Jump to navigationJump to search
The amortised cost of a financial asset or financial liability is:
- The amount at which it was measured at initial recognition - the "initial amount" - usually cost.
- LESS any repayments of principal.
- LESS any reduction for impairment or uncollectability.
- ADD or LESS the cumulative amortisation of the difference between the initial amount and the final maturity amount.