Two iTunes accounts, one iMac, two iPhones - want to share apps

Question

My wife and I both have iPhones, and we have our own iTunes accounts. Her phone is first generation, and mine is 3GS.
We have one iMac with a single user on the mac. I have been able to sync both the phones just fine because I have set up both her phone's sync preferences to ignore application sync.
But now we have a situation where I have purchased some app that I want her to be able to use and vice versa. I had read somewhere that Apple now allows the household to share purchased apps.
I am not sure though, how to exactly do it. I have read on these forums that I could go to "Authorize Computer" and then "Transfer All Purchased Content from this iPhone" and I did that with my wife's phone, while I was signed into my iTunes account.
I noticed it was transferring the apps but they do not show under the Applications area.
Is there a step-by-step guide somewhere?

Answer 1

Allan Sampson wrote:
Not sure where you read this, but a household cannot share apps under the definition you are wanting.
There is no device limit for the number of iPods and/or iPhones that can be synced with the same iTunes library and iTunes account on the same computer. Although iTunes music no longer includes DRM protection when purchased, 3rd party apps do include DRM protection, which is tied to the iTunes account used to purchase/download the app.
I tried a quick search but could not find it, but I am sure that either during one of the iPhone OS updates or an iTunes update, it was also revealed that within a household, paid apps can be shared.