Obtain Microsoft’s June 30, 2009, 10-K through the ‘‘Investor Relations’’ portion of their website (do a search for Microsoft investor relations) or go to www.sec.gov and click ‘‘Search for Company Filings’’ under ‘‘Filings & Forms.’’
Required:
1. How much cash and equivalents and short-term investments did Microsoft hold as a percentage of total assets in 2008 and 2009?
2. What is Microsoft’s definition of a cash equivalent (see Note 1)? Does this appear consistent with other companies’ definitions?
3. Look at Note 4 and specify how much of Microsoft’s cash and equivalent balance is actually cash. What is their largest (in dollar terms) cash equivalent?
4. Locate the certifications required by the CEO and CFO under Section 302 of the Sarbanes Oxley Act.