Posted: September 7th, 2020

Computers Software Costs Assignment | Homework For You

Discussion: Computers Software Costs Using the Internet and Strayer Library, research the accounting treatment for cloud computing software purchases. Next, imagine that your company is interested in using cloud computing for all of its software purchases from a third party vendor. Your boss wants you to make a recommendation about the accounting treatment of software purchased through a cloud environment. Based on your research, recommend the primary way in which you would properly account for the related costs. Provide support for your recommendation.

EXTRA CREDIT #6-COMPUTER SOFTWARE- DUE April 28 During the year just ended, Honeyblue Corp. incurred costs to develop and produce a routine, low-risk computer software product as follows: Completion of detail program design $13,000 Costs incurred for coding and testing to establish technological feasibility 10,000 Other coding costs after establishing technological feasibility 24,000 Other testing costs after establishment of technological feasibility 20,000 Costs of producing product masters for training materials 15,000

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Duplication of computer software and training materials from product masters (1,000 Units) 25,000 Packaging product (5600 units) 9,000 The guidance pertaining to accounting for the costs of computer software to be sold, leased, or otherwise marketing applies. Q#1a. In Honeyblue's December 31 balance sheet, what amount should be capitalized as software cost subject to amortization? Explain. (3 points) Q#1b. In Honeyblue's December 31 balance sheet, what amount should be reported in inventory? Explain. (3 points) Accounting homework help

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