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4. Discuss whether Microsoft's revenue recognition policy is conservative or not and why the SEC would be concerned about the accounting at Microsoft. In answering

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4. Discuss whether Microsoft's revenue recognition policy is conservative or not and why the SEC would be concerned about the accounting at Microsoft. In answering this question be sure to consider your answer to question 3 along with the implications of the policy for the first quarter of fiscal year 2000 in which Microsoft experienced its first ever drop in the deferred revenue balance

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