Founders of a small company I work for assigned their IP to the company recently. The IP consists of trademarks and software. The software is marketed by the company in the form of several software products.
The software is being improved to keep it up-to-date and relevant. Improvements include bug fixes as well as new features.
I understand that the assigned IP needs to be capitalized and amortized. But what about the further development of the software? Should these costs be also capitalized and amorized, or could be expensed when incurred, since they are similar to research and experimental expenditures?
Thank you for your help!
