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product development is that of a highly dispersed process that capitalizes on the skills and insights of people and organizations spread throughout the entire world. However, the benefits of dispersion come at a cost.
If the software development process includes the preparation of a detail program design, technological feasibility is determined and capitalization of software development costs begins when the criteria specified in paragraph 4 of Statement No. 86 are met: A product design is defined in Statement No. 86 as follows: