Computer Associates 2012 Annual Report Download - page 82

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Note 6 — Trade Accounts Receivable
Trade accounts receivable, net represents amounts due from the Company’s customers and is presented net of allowance for doubtful
accounts. These balances include revenue recognized in advance of customer billings but do not include unbilled contractual
commitments executed under license agreements. The components of “Trade accounts receivable, net” were as follows:
AT MARCH 31,
(in millions) 2012 2011
Accounts receivable — billed $ 812 $ 758
Accounts receivable — unbilled 80 86
Other receivables 26 27
Less: Allowance for doubtful accounts (16) (22)
Trade accounts receivable, net $ 902 $ 849
Note 7 — Long-Lived Assets
Property and Equipment: A summary of property and equipment is as follows:
AT MARCH 31,
(in millions) 2012 2011
Land and buildings $ 224 $ 232
Equipment, software developed for internal use, furniture, and leasehold improvements 869 837
1,093 1,069
Accumulated depreciation and amortization (707) (632)
Property and equipment, net $ 386 $ 437
Capitalized Software and Other Intangible Assets: The gross carrying amounts and accumulated amortization for capitalized software
and other identified intangible assets at March 31, 2012 were as follows:
AT MARCH 31, 2012
(in millions)
GROSS
AMORTIZABLE
ASSETS
LESS:
FULLY
AMORTIZED
ASSETS
REMAINING
AMORTIZABLE
ASSETS
ACCUMULATED
AMORTIZATION
ON REMAINING
AMORTIZABLE
ASSETS NET ASSETS
Purchased software products $ 5,628 $ 4,733 $ 895 $ 228 $ 667
Capitalized development cost and other intangibles:
Internally developed software products 1,366 574 792 258 534
Other intangible assets subject to amortization 814 412 402 214 188
Total capitalized software costs and other intangible assets $ 7,808 $ 5,719 $ 2,089 $ 700 $ 1,389
The gross carrying amounts and accumulated amortization for capitalized software and other intangible assets at March 31, 2011
were as follows:
AT MARCH 31, 2011
(in millions)
GROSS
AMORTIZABLE
ASSETS
LESS:
FULLY
AMORTIZED
ASSETS
REMAINING
AMORTIZABLE
ASSETS
ACCUMULATED
AMORTIZATION
ON REMAINING
AMORTIZABLE
ASSETS NET ASSETS
Purchased software products $ 5,430 $ 4,662 $ 768 $ 198 $ 570
Capitalized development cost and other intangibles:
Internally developed software products 1,201 508 693 205 488
Other intangible assets subject to amortization 772 120 652 440 212
Other intangible assets not subject to amortization 14 — 14 — 14
Total capitalized software costs and other intangible assets $ 7,417 $ 5,290 $ 2,127 $ 843 $ 1,284
During fiscal years 2012 and 2010, the Company recorded impairment charges of approximately $9 million and $3 million, respectively,
for internally developed software. No impairment charge was recorded during fiscal year 2011.
70