Computer Associates 2011 Annual Report Download - page 80

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Note 6 — trade and installment accounts receivable
The Company uses installment license agreements as a standard business practice and has a history of successfully collecting
substantially all amounts due under the original payment terms without making concessions on payments, software products,
maintenance, or professional services. Trade and installment accounts receivable, net represent amounts due from the
Company’s customers. These accounts receivable balances are presented net of allowance for doubtful accounts and
unamortized discounts. Unamortized discounts reflect imputed interest for the time value of money for license agreements
signed prior to October 2000 (prior business model). These accounts receivable balances include revenue recognized in
advance of customer billings but do not include unbilled contractual commitments executed under license agreements
implemented since October 2000. The components of trade and installment accounts receivable, net are as follows:
(IN MILLIONS) 2011 2010
AT MARCH 31,
Current:
Accounts receivable — billed $758 $768
Accounts receivable — unbilled 86 72
Other receivables 27 26
Unbilled amounts due within the next 12 months — prior business model —93
Less: Allowance for doubtful accounts (22) (24)
Less: Unamortized discounts —(4)
Trade and installment accounts receivable, net $849 $931
Noncurrent:
Unbilled amounts due beyond the next 12 months — prior business model —46
Installment accounts receivable, due after one year, net $— $46
Note 7 — long-lived assets
Property and equipment:
A summary of property and equipment is as follows:
(IN MILLIONS) 2011 2010
AT MARCH 31,
Land and buildings $ 232 $ 208
Equipment, software developed for internal use, furniture, and leasehold improvements 837 782
1,069 990
Accumulated depreciation and amortization (632) (538)
Property and equipment, net $ 437 $ 452
No impairment charge was recorded during fiscal year 2011 for software that was capitalized for internal use. During fiscal
years 2010 and 2009, the Company recorded impairment charges of approximately $3 million and $5 million, respectively,
for software that was capitalized for internal use but was determined to be impaired.
Capitalized software and other intangible assets: The gross carrying amounts and accumulated amortization for capitalized
software and other intangible assets at March 31, 2011 were approximately $7,417 million and $6,133 million, respectively.
These amounts included fully amortized assets of approximately $5,290 million, which was composed of purchased software
of approximately $4,662 million, internally developed software products of approximately $508 million and other intangible
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