Accounting for expenditure on software development for internal use.
The methods accepted by Australian, International, U.S. and U.K. Accounting Standards for the treatment of expenditure on software development are inconsistent, and permissive. A host of methods for recording capitalized software in terms of those standards is identified by reference to an illustrat...
| Publicado en: | Abacus Vol. 41; no. 1; pp. 66 - 92 |
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| Autores principales: | , |
| Formato: | Artículo |
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Wiley-Blackwell
Feb2005
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| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=15876774&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 15876774 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00013072 AUB jtl: Abacus issn: 00013072 maglogo: Y pubinfo: dt: Feb2005 vid: 41 iid: 1 pid: 480 pub: Wiley-Blackwell artinfo: ui: 15876774 10.1111/j.1467-6281.2005.00170.x ppf: 66 ppct: 26 formats: fmt: @attributes: type: P size: 138KB tig: atl: Accounting for expenditure on software development for internal use. aug: au: Walker, R. G. Oliver, G. R. affil: Professor of Accounting, The University of Sydney Lecturer in Business Information Systems, The University of Sydney su: Computer software development Accounting Corporate finance Financial performance Industrial costs sug: subj: Computer software development Accounting Corporate finance Financial performance Industrial costs keyword: Capitalization Enhancements Expense Intangibles Software development ab: The methods accepted by Australian, International, U.S. and U.K. Accounting Standards for the treatment of expenditure on software development are inconsistent, and permissive. A host of methods for recording capitalized software in terms of those standards is identified by reference to an illustrative case study. It is questionable whether many in-house developed software applications satisfy the professionally endorsed definition of‘asset’. Moreover, even if accounting standards significantly reduce the range of options for capitalizing expenditure on software development, there would still be many values which could be assigned to capitalized software. That suggests that those‘measures’ are not reliable, so that it would be inappropriate initially to recognize software expenditure as an‘asset’. It is contended that expensing all outlays on software development as they are incurred (accompanied by reporting that expenditure as a line item in statements of financial performance, and expanded disclosures in notes) is likely to provide a clearer and more useful report on business operations than the alternative of capitalization, amortization and subsequent assessments of whether or not recorded values should be adjusted for‘impairment’. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y custom: Copyright of Abacus is the property of Wiley-Blackwell and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. item: Abacus holder: Wiley-Blackwell dt: @attributes: year: 2005 holdings: @attributes: islocal: N |
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