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Property, Equipment, and Capitalized Software, Net
 12 Months Ended
Dec. 31, 2020
Property, Plant and Equipment [Abstract]  
Property, Equipment, and Capitalized Software, Net Property, Equipment, and Capitalized Software, Net Property and equipment are stated at historical cost. Replacements and major improvements are capitalized, and repairs and maintenance are charged to expense as incurred. Software developed for internal use is capitalized. Furniture and equipment are generally depreciated using the straight-line method over estimated useful lives ranging from three to seven years. Software is generally amortized over its estimated useful life of three years. Leasehold improvements are amortized over the term of the lease, or over their useful lives from five to 10 years, whichever is shorter. Buildings are depreciated over their estimated useful lives of 31.5 to 40 years.
A summary of property, equipment, and capitalized software is as follows:
 December 31,
 20202019
 (In millions)
Capitalized software$475 $421 
Furniture and equipment221 213 
Building and improvements49 49 
Land4 4 
Magellan Complete Care3 — 
Total cost752 687 
Less: accumulated amortization - capitalized software(385)(351)
Less: accumulated depreciation and amortization - furniture, equipment, building, and improvements
(192)(179)
Total accumulated depreciation and amortization(577)(530)
ROU assets - finance leases216 228 
Property, equipment, and capitalized software, net$391 $385 
The following table presents all depreciation and amortization recognized in our consolidated statements of income:
Year Ended December 31,
202020192018
(In millions)
Recorded in depreciation and amortization:
Amortization of capitalized software$38 $33 $42 
Amortization of finance leases19 17 — 
Depreciation and amortization of furniture, equipment, building, and improvements16 21 36 
Amortization of intangible assets15 18 21 
Subtotal88 89 99 
Recorded in cost of service revenue:
Amortization of capitalized software and deferred contract costs— — 28 
Total depreciation and amortization recognized$88 $89 $127