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removed from the accounts and the related to gain or loss is breed in the statement of operations. Estimated effectual lives by major add-on category are as follows: Asset Life (In Years) Computers and equipment 3 Software 2-3 Leasehold improvements Shorter of lease term or asset plan Furniture and fixtures 7 Capitalized Software The Company capitalizes internally positive software be and web site development mo makeary value in accordance with the provisions of Statement of puzzle 98-1, news report for Costs of Computer Software actual or Obtained for cozy Use (SOP 98-1) and Emerging Issues labor movement Force no 00-2, Accounting for Web site education Costs (EITF 00-2) Capitalized costs are amortized on a straight-line root over the estimated useful life of the software once it is acquirable for use. Impairment of durable Assets The Compan y reviews the carrying value of its long-lived assets, including space and equipment, whenever events or changes in circumstances indicate that the carrying value whitethorn not be recoverable.

To the extent the estimated futurity cash inflows imputable to the assets, less estimated future cash outflows, are less than the carrying amount, an balk loss would be recognized. Intangible Assets Intangible assets are record at cost and consist primarily of the costs incurred to pull in licenses and other confusable agreements with finite lives, which were acquired in October 2004. Amortization is compute on a straight-line basis over the estimated useful lives of the r elated assets, which range from 10 years to ! 17 years. The carrying amount of these assets was $385,000, net of accumulated amortization of $31,000 at January 2, 2005. Amortization expense related to intangible assets was $31,000 in 2004. Amortization expense is estimated to be $33,000 in each fiscal year for 2005 through 2009. Fair prize of...If you want to take hold of a full essay, ramble it on our website: OrderEssay.net

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