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amortization vs reduction

reduction vs amortization

amortization and reduction both are nouns.

Word NounAdjectiveVerbAdverb
amortization Yes No No No
reduction Yes No No No
As nouns, reduction is a hypernym of amortization; that is, reduction is a word with a broader meaning than amortization:
  • amortization: the reduction of the value of an asset by prorating its cost over a period of years
  • reduction: the act of decreasing or reducing something
Other hypernyms of amortization include decrease, diminution, step-down.
amortization (noun) reduction (noun)
payment of an obligation in a series of installments or transfers the act of decreasing or reducing something
the reduction of the value of an asset by prorating its cost over a period of years the act of reducing complexity
any process in which electrons are added to an atom or ion (as by removing oxygen or adding hydrogen); always occurs accompanied by oxidation of the reducing agent
Difference between amortization and reduction

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