The simplest way is now K4PC, plus Calibre, plus a 3rd party Calibre plug-in to strip the K4PC DRM (encryption). You need Calibre anyway to format shift from MOBI (AZW) to ePub. Apprentice Alf's Blog is the best place to read about DRM issues. The plug-ins are in the tools_2.3 bundle. As starrlamia says, this is now much easier than it used to be. Once you have the plug-in installed, importing K4PC AZW's into Calibre is no more trouble than importing a DRM-free MOBI. There is no need to install python to use the plug-in.
Note that this (stripping DRM and format shifting of ebooks you bought to use on another device you own) is almost certainly legal in the US.
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