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BALANCE SHEET COMPONENTS | 12 Months Ended
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Dec. 31, 2022
Balance Sheet Related Disclosures [Abstract] |
BALANCE SHEET COMPONENTS | BALANCE SHEET COMPONENTS Inventory Inventory consisted of the following (in thousands):
| December 31,
| 2022 |  | 2021
Raw materials | $ | 9,338 |  |  | $ | 5,101 |
Finished goods | 5,817 |  |  | 5,167 |
Total | $ | 15,155 |  |  | $ | 10,268 |
Other Assets Other assets consisted of the following (in thousands):
| December 31,
| 2022 |  | 2021
PCBAs | $ | 18,599 |  |  | $ | 13,863 |
Cloud computing arrangements | 2,523 |  |  | 1,427 |
Other | 1,130 |  |  | 762 |
| $ | 22,252 |  |  | $ | 16,052 |
The Company uses PCBAs in each wearable Zio XT patch and Zio AT patch, as well as the wireless gateway used in conjunction with the Zio AT patch. The PCBAs are used numerous times and have useful lives beyond one year. Each time a PCBA is used in a wearable Zio XT patch or Zio AT patch, a portion of the cost of the PCBA is recorded as a cost of revenue. Each time a wireless gateway is used with a Zio AT patch, a portion of the gateway is recorded as a cost of revenue. PCBAs, which are recorded as other assets, were $18.6 million a nd $13.9 million as of December 31, 2022 and 2021, respectively. The amortization wa s $5.2 million, $4.4 million and $3.0 million for the years ending December 31, 2022, 2021, and 2020, respectively. Property and Equipment Property and equipment, net consisted of the following (in thousands):
| December 31,
| 2022 |  | 2021
Laboratory and manufacturing equipment | $ | 4,911 |  |  | $ | 3,192 |
Computer equipment and software | 2,315 |  |  | 2,269 |
Furniture and fixtures | 4,119 |  |  | 4,174 |
Leasehold improvements | 23,144 |  |  | 20,401 |
Internal-use software | 44,877 |  |  | 30,922 |
Internal-use software in development | 28,069 |  |  | 15,739 |
Construction in progress | 3,451 |  |  | 1,951 |
Total property and equipment, gross | 110,886 |  |  | 78,648 |
Less: accumulated depreciation and amortization | (35,216) |  |  | (22,704) |
Total property and equipment, net | $ | 75,670 |  |  | $ | 55,944 |
Depreciation and amortization expense for the years ended December 31, 2022, 2021 and 2020 was $13.4 million, $9.8 million and $6.9 million, respectively. During the year ended December 31, 2022, internal-use-software increased by $26.3 million. This increase relates to the enhancements to the Company’s core technology, products and services and artificial intelligence, as well as investment in future technology, such as the Zio Monitor System, the Company's new biosensor technology platform, and the clinically-integrated ZEUS System for the Zio Watch. Accrued Liabilities Accrued liabilities consisted of the following (in thousands):
| December 31,
| 2022 |  | 2021
Accrued payroll and related expenses | $ | 34,752 |  |  | $ | 34,484 |
Accrued vacation | 8,608 |  |  | 7,431 |
Accrued professional services fees | 7,234 |  |  | 1,724 |
Accrued expenses | 7,006 |  |  | 3,112 |
Claims payable | 4,464 |  |  | 2,988 |
Accrued state and foreign income and sales taxes | 2,388 |  |  | 745 |
Accrued employee share purchase plan contributions | 1,045 |  |  | 1,002 |
Total accrued liabilities | $ | 65,497 |  |  | $ | 51,486 |

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- Definition The entire disclosure for supplemental balance sheet disclosures, including descriptions and amounts for assets, liabilities, and equity. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 210 -URI https://asc.fasb.org/topic&trid=2122208 + Details
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