Amortization is an accounting technique used to periodically lower the book value of a 

loan  or
an  intangible asset  over a set period of time. Concerning a loan, amortization focuses on
spreading out loan payments over time. When applied to an asset, amortization is similar
to  depreciation.

The term fixed cost refers to a cost that does not change with an
increase or decrease in the number of goods or services produced or
sold. Fixed costs are expenses that have to be paid by a company,
independent of any specific business activities. This means fixed costs
are generally indirect, in that they don't apply to a company's production
of any goods or services. Companies can generally have two types of
costs—fixed or variable costs—which together result in their total
costs. Shutdown points tend to be applied to reduce fixed costs
aAn expense is the cost of operations that a company incurs to generate
revenue. As the popular saying goes, “it costs money to make money.”
Common expenses include payments to suppliers, employee wages,
factory leases, and equipment depreciation. Businesses are allowed to
write off tax-deductible expenses on their income tax returns to lower
their taxable income and thus their tax liability. However, the Internal
Revenue Service (IRS) has strict rules on which expenses businesses
are allowed to claim as a deduction.

  Inventory, stock

Inventory turnover is a financial ratio showing how many times a company has
sold and replaced inventory during a given period. A company can then divide the
days in the period by the inventory turnover formula to calculate the days it takes
to sell the inventory on hand.

Calculating inventory turnover can help businesses make better decisions on

pricing, manufacturing, marketing, and purchasing new inventory.

Long term financing

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