While some of these complaints reflect real declines in brain function in our middle years, the deficiencies of a middle-aged brain have likely been overstated by anecdotal evidence and even by some scientific studies.
The capitalized software cost may be amortized over 36 months, beginning with the month the software is placed in service. Additionally, the separately stated cost of software may also be eligible for 50% bonus first-year depreciation if acquired before 2013.
That takes us five years out. Assuming that you've locked in the maintenance over the five years to 20 percent of the purchase price, that set of options is worth $2.85 + $4.25 + $5.35 + $6.35 = $18.80. Five years is not an unreasonable horizon for enterprise software.Pages: 1, 2.hat is to say, for $2.85 you can lock in the price of the maintenance contract so that one year from now, you'll have the right to buy it for $20. The right to buy the same maintenance for $20 two years from now is about $4.25; three years is $5.35; four years is $6.35.