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Jim,
I think you are mostly correct. However,
there is an accounting issue. Since you retained the serial number the
AS/400 is still the same asset on your books. If you replace the AS/400
then you get a new serial number and a new asset on the books. I believe
the IRS has rules on how much of the old hardware must exist in the
new system to be considered the same asset. If there are any CPA's in the
group they could probably give a better description, but from my understanding
this is a tax/depreciation issue that can impede you from doing an
"upgrade." However, I do not know if this specific upgrade would be
affected by this.
Chuck
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