Property and equipment consisted of the following (in thousands):


	December 31,			June 30,
	2022			2023
Computer and other related equipment	$	14,939		$	15,789
Purchased and internally developed software		3,090			4,721
Furniture and fixtures		1,273			276
Leasehold improvements		1,732			-
Construction in progress		1,400			25
	$	22,434		$	20,811
Less: Accumulated depreciation and amortization		(18,384	)		(16,142	)
Property and equipment, net	$	4,050		$	4,669

We capitalize certain software development costs incurred in connection with developing or obtaining computer software for internal use when both the preliminary project stage is completed and it is probable that the software will be used as intended. Capitalized software costs include (i) external direct costs of materials and services utilized in developing computer software, (ii) compensation and related benefits for employees who are directly associated with the software projects. Capitalized software costs are amortized on a straight-line basis when placed into service over the estimated useful life of the software, generally averaging three years. We capitalized software development costs of $440,000 for the six months ended June 30, 2023.

Upon retirement or other disposal of property, plant and equipment, the costs and related amounts of accumulated depreciation or amortization are eliminated from the asset and accumulated depreciation accounts, respectively. The difference, if any, between the net asset value and the proceeds are recorded in earnings.

Depreciation and amortization expense related to property and equipment was approximately $689,000 and $679,000 for the six months ended June 30, 2023 and 2022, respectively. Depreciation and amortization expense related to property and equipment was approximately $351,000 and $361,000 for the three months ended June 30, 2023 and 2022, respectively.

In fiscal year 2023, we entered into a financing lease agreement to borrow $786,000 for the procurement of server equipment.