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  "documentTitle": "Amdocs Limited (DOX)",
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  "authorName": "Ben Axler",
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  "notes": "The slide uses a table of financial data to point out specific accounting anomalies.",
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      "kind": "callout",
      "text": "We are curious as to why management has chosen to leave this null account on its statements for a decade, unchanged.",
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      "text": "Source: Amdocs FY 2017 20-F",
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      "text": "Acquired “core technology” is amortized – why not internally-developed software?",
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      "text": "Why is this null account still here after ten years – since FY 2007 – without change?",
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      "text": "We also notice that included in the Company’s definite-lived purchased intangible assets is “Intellectual property rights and purchased computer software.” We find it odd that Amdocs classifies purchased software as an intangible asset, but internally-developed software as a fixed asset. Importantly, we note that management amortizes acquired software – and that the acquired software which it lists in its financial statements has been unchanged for ten years, and is fully amortized. Best practices would dictate that obsolete and fully-amortized software be removed from a company’s financial statements, unless it continues to be used in operations – and we struggle to think of an example of decade-old software which is still serviceable.",
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      "text": "While Amdocs reports significant unamortized assets related to software under development, it does in fact amortize “Core technology” acquired via M&A. Given that this non-hardware technology account is amortized, we wonder: how can Amdocs justify not amortizing its increasingly large quantity of internally-developed software?",
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      "text": "Inconsistent Accounting Between Software And Acquired Items",
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