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PBI » Topics » Accounting for the Costs of Computer Software Developed or Obtained for Internal Use

This excerpt taken from the PBI 10-K filed Mar 1, 2007.
Accounting for the Costs of Computer Software Developed or Obtained for Internal Use. Capitalized costs include purchased materials and services, payroll and payroll-related costs and interest costs. The cost of internally developed software is amortized on a straight-line basis over its estimated useful life, principally 3 to 10 years.

We capitalize software development costs related to software to be sold, leased, or otherwise marketed in accordance with Statement of Financial Accounting Standards (SFAS) No. 86,

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