The time expected to pass before the net cash flows from an investment would return its initial cost is called the amortization period.

Question

Quizplus · Accepted Answer

The time expected to pass before the net cash flows from an investment would return its initial cost is called the payback period, not the amortization period. The amortization period refers to the length of time required to fully depreciate an asset's value.

The Time Expected to Pass Before the Net Cash Flows