How does Pfizer treat Amortization?
1 Answer(s)
Binny
Accrual accounting is all about matching revenue to expenses.
Amortization is all about allocating expenses over the lifetimne of the asset irrespective of the revenue generated by the asset. So in Pfizer's case once the drug is in the market, the amortization kicks in every year irrespective of what the revenue generated by the drug is.
Jan 22 2013 09:31 AM
Amortization is all about allocating expenses over the lifetimne of the asset irrespective of the revenue generated by the asset. So in Pfizer's case once the drug is in the market, the amortization kicks in every year irrespective of what the revenue generated by the drug is.