Define: Unamortised Cost

UK Accounting Glossary

Definition: Unamortised Cost


Quick Summary of Unamortised Cost


The historical cost of a fixed asset before any depreciation is deducted.




What is the dictionary definition of Unamortised Cost?

Dictionary Definition


  1. The historical cost of a fixed asset minus the total deprecation shown against that asset up to a specified date.
  2. The value given to a fixed asset in the accounts of an organisation after revaluation minus the total depreciation shown against that asset since it was revalued.

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Full Definition of Unamortised Cost


The historical cost of an asset (which is what the owner originally paid for it) less its total depreciation (which is the portion of value removed each year for accounting purposes) up to that point. That is, the unamortised cost of an asset is the value of the asset that has not yet been subtracted for depreciation. This affects the owner’s net asset value, but the unamortised cost often has only a rough relationship with the asset’s actual fair market value.


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Page URL
https://payrollheaven.com/define/unamortised-cost/
Modern Language Association (MLA):
Unamortised Cost. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. November 19, 2019 https://payrollheaven.com/define/unamortised-cost/.
Chicago Manual of Style (CMS):
Unamortised Cost. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/unamortised-cost/ (accessed: November 19, 2019).
American Psychological Association (APA):
Unamortised Cost. PayrollHeaven.com. Retrieved November 19, 2019, from PayrollHeaven.com website: https://payrollheaven.com/define/unamortised-cost/

Definition Sources


Definitions for Unamortised Cost are sourced/syndicated from:


This glossary post was last updated: 6th May 2019.