{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/705/985/#25-recognition","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","topic":"705","topic_title":"Cost of Sales and Services","subtopic":"705-985","subtopic_title":"Software","section":{"number":"25","label":"25 Recognition","anchor":"25-recognition","is_sec":false,"groups":[{"block":null,"heading":"Amortization of Capitalized Software Development Costs","paragraphs":[{"citation":"705-985-25-1","para":"25-1","html":"
Paragraph 985-20-45-1 indicates that the amortization of capitalized costs to develop a software product that is marketed to others would be charged to cost of sales or a similar expense category.
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For guidance on costs incurred for duplicating the computer software, documentation, and training materials from product masters and for physically packaging the product for distribution, see Subtopic 985-330.
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For guidance on costs to keep certain software current with hardware revisions, see paragraphs
985-20-55-11 through 55-12
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