Software Development Costs. Borrower shall not, and shall not permit any of its Subsidiaries to, pay costs or make expenditures in respect of software development in excess of $250,000 for Borrower and its Subsidiaries in an individual fiscal year of Borrower, or $500,000 in the aggregate for Borrower and its Subsidiaries during the term of the Credit Facilities.
Software Development Costs. The Company accounts for software development costs in accordance with Statement of Financial Accounting Standards (SFAS) No.
Software Development Costs. Statements of Work and monthly invoices which include charges for Software development by Provider will include detail regarding estimates for and actual costs incurred by Provider in the development of Software and other information sufficient for Customer to comply with Statement of Position 98-1 issued by the American Institute of Certified Public Accountants all as set forth in Exhibit 4.
Software Development Costs. Borrower shall not, nor shall it permit any of its Subsidiaries to, incur Software Development Costs in an amount in excess of the following amounts for the following specified periods: (i) $3,250,000 for the twelve (12) month period commencing as of July 1, 2016 through and including June 30, 2017 and (ii) $1,250,000 for the twelve (12) month period commencing as of July 1, 2017 through and including June 30, 2018 and each twelve (12) month period thereafter. The amount of any Software Development Costs permitted to be made in respect of any twelve (12) month period shall be increased by 100% of the unused amount of Software Development Costs that were permitted to be made during the immediately preceding twelve (12) month period pursuant hereto. Software Development Costs in any twelve (12) month period shall be deemed to use first, the amount permitted for such twelve (12) month period without giving effect to any carryover amount and, second, any amount permitted to be carried forward to such twelve (12) month period.
Software Development Costs. We capitalize eligible computer software development costs, which include software enhancement costs, upon the establishment of technological feasibility, which occurs upon the completion of a working model. Software development costs capitalized have not been significant. Foreign Currency Translation and Foreign Exchange Contracts -- Prior to fiscal 1999, the functional currency of our foreign subsidiaries was the U.S. dollar. Accordingly, all monetary assets and liabilities were translated at the current exchange rate at the end of the year, nonmonetary assets and liabilities were translated at historical rates and net sales and expenses were translated at average exchange rates in effect during the period. Transaction gains and losses, which are included in other income (expense) in the accompanying consolidated statements of income, have not been significant. In fiscal 1999, we determined that the functional currencies of certain of our foreign subsidiaries had changed from the U.S. dollar to the local currencies. Accordingly, for fiscal 2001, 2000 and 1999, assets and liabilities of our foreign subsidiaries are translated in U.S. dollars at the exchange rates in effect as of the balance sheet date, and results of operations for each subsidiary are translated using average rates in effect for the period presented. Translation adjustments have been included within shareholders' equity as part of cumulative other comprehensive loss. The effect of the change in functional currencies did not have a material impact on our consolidated financial position, results of operations or cash flows. Foreign currency transaction gains and losses, which are included in the consolidated statements of income, have not been material in any of the three years presented. We utilize forward exchange contracts to hedge against the short-term impact of foreign currency fluctuations on certain assets or liabilities denominated in foreign currencies. The gains or losses on these contracts are included in income as the exchange rates change. Management believes that these forward contracts do not subject us to undue risk due to foreign exchange movements because gains and losses on these contracts are offset by losses and gains on the underlying assets and transactions being hedged. Certain Significant Risks and Uncertainties -- The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management ...
Software Development Costs. Under SFAS No. 86, Accounting for the Cost of Computer Software to Be Sold, Leased, or Otherwise Marketed, software development costs are to be capitalized beginning when a product's technological feasibility has been established and ending when a product is made available for general release to customers. To date, the establishment of technological feasibility of our products has occurred shortly before general release and, therefore, software development costs qualifying for capitalization have been immaterial. Accordingly, DMRC Corporation has not capitalized any software development costs and has charged all such costs to research and development expense. Internal use software development costs are accounted for in accordance with AICPA SOP No. 98-1, Accounting for the Costs of Computer Software Developed or Obtained for Internal Use. Costs incurred in the preliminary project stage are expensed as incurred and costs incurred in the application development stage, which meet the capitalization criteria, are capitalized and amortized on a straight-line basis over the estimated useful life of the asset, generally three to five years. Costs incurred in the post-implementation stage are expensed as incurred.
Software Development Costs. The Company capitalizes costs of producing software to be sold, leased, or otherwise marketed, incurred subsequent to establishing technological F-47 171 MEDICAL DYNAMICS, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS -- (CONTINUED) feasibility in accordance with Statement of Financial Accounting Standards No. 86. The Company does not develop any software for internal use. Amortization of capitalized software development costs is computed on a product-by-product basis. The annual amortization is the greater of the amount computed using the ratio of current gross revenue for a product to the total of current and anticipated future gross revenue for that product or the straight-line method, not to exceed 7 years. In addition, management periodically compares the unamortized capitalized costs for each product to the net realizable value of that product. If the unamortized capitalized costs exceed the net realizable value, the excess will be charged to operations. The total amount charged to expense in the statements of operations for amortization of capitalized software costs was $446,100 and $417,800 for the years ended September 30, 1999 and 1998, respectively, and is included in cost of sales. Costs incurred in researching, designing and planning for the development of new software are classified as research and development expenses and are charged to operations as incurred. OTHER INTANGIBLE ASSETS. Other intangible assets are stated at cost and are amortized utilizing the straight-line method over the following estimated useful lives:
Software Development Costs. TTI accounts for its software development costs in accordance with Statement of Financial Accounting Standards (SFAS) No. 86, ACCOUNTING FOR THE COSTS OF COMPUTER SOFTWARE TO BE SOLD, LEASED OR OTHERWISE MARKETED. Accordingly, the costs for the development of new software and substantial enhancements to existing software are expensed as incurred until technological feasibility has been established, at which time any additional costs would be capitalized. TTI has determined that technological feasibility is established at the time a working model of the software is completed. Because TTI believes its current process for developing software is essentially completed concurrently with the establishment of technological feasibility, no costs have been capitalized to date.
Software Development Costs. Software development costs are as follows ---------------------- December 31, ---------------------- 1998 1997 -------- -------- Capitalized software costs $ 39,713 $ 39,713 Less accumulated amortization (37,023) (34,834) -------- -------- $ 2,690 $ 4,879 -------- -------- Amortization of capitalized computer software development costs are included in cost of products sold and aggregated $2,189 and $24,751 for the years ended December 31, 1993 and 1997, respectively. Included in amortization of capitalized computer software development costs for the year ended December 31, 1997 were accelerated amortization charges of $17,269 for the reduction of certain capitalized costs to their net realizable value due to a change in the Company" product focus. Accelerated amortization charges in 1998 were not material.
Software Development Costs. The Company accounts for software development costs in accordance with the Statement of Financial Accounting Standards No. 86, Accounting for the Costs of Computer Software to be Sold, Leased, or Otherwise Marketed. Research and development costs have been charged to operations as incurred. From inception through the current period, the Company has viewed the software as an evolving product. Therefore, all costs incurred for research and development of the Company's software products through December 31, 2000 and 1999 have been expensed as incurred. Research and development costs include personnel costs, engineering, consulting, and contract labor. Income Taxes The Company's results of operations are included in the consolidated tax return of Riverview Financial Corporation, its parent company. The Company is required to pay income taxes to Riverview based upon an inter-company tax sharing agreement. Amounts due to Riverview are determined as if the Company filed tax returns based solely upon its operations. The Company utilizes the asset and liability method to account for income taxes. The objective of this method is to establish deferred tax assets and liabilities for the temporary differences between net income for financial reporting basis and tax basis of the Company's assets and liabilities at enacted tax rates expected to be in effect when such amounts are realized. Timing differences are created by different expense recognition for financial and tax reporting for net operating losses, depreciation expense, allowance for doubtful accounts and accrued compensated absences. The effects of such differences are reported as either a deferred income tax asset or liability, which is reduced by a valuation allowance based upon management's assessment for realization of such deferred tax assets. Stocked Based Compensation The Financial Accounting Standards Board issued Statement of Financial Accounting Standards No. 123, Accounting for Stock-based Compensation, which became effective in 1996. The statement established an accounting method based on the fair value of the options awarded to employees as compensation. However, the Company is permitted to continue applying previous accounting standards in the determination of net income or loss with appropriate disclosure of the differences between previous accounting measurements and those formulated by the new standard. The Company determines net income using previous accounting standards and makes the appropr...
