Re: Fast400 Value to iSeries community is less than zero

From: <thomas@inorbit.com>
On Thu, 08 November 2001, "Leif Svalgaard" wrote:
 ==> does hardware and software depreciate at the same rate?

Interesting question; I certainly don't know. I bought two AS/400 model 400s,
one with V3R6, the other with V3R7. One now runs V4R5 and the other V5R1.

I have no clear idea how to calculate the relative values had the software
never been upgraded but simply allowed to "depreciate" -- assuming it's
possible. I suspect the term doesn't apply to software, but it's a pure
guess. I'd expect it to be some kind of an amortized expense more likely, but
even that seems improbable.

===> what I meant was that if a business buys a piece of equipment (hardware)
it can depreciate the cost over a number of years (for tax purposes).
I presume that the same is true for software, but I don't know if the rate is
the same. That was my question. It was all in response to your question
if it made any difference if a solution was hardware or software.