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pardon my ignorance but why would they amortize some and not others?



- In a steady state where you're spending the same amount every year, the tax burden of amortized vs. unamortized accounting makes no difference. It only matters for R&D - i.e., new products.

- I read once, although I have no idea how accurate this is, that a company could classify maintenance expenses (i.e., paying SREs and some SWEs to keep the service running and fix bugs) as non-R&D and therefore be able to amortize. That's another advantage to mature services over new services.




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