Microsoft is evaluating the costs associated with acquiring a cloud computing startup. The acquisition cost is $10 billion, including integration and development costs of $2 billion. Microsoft anticipates the startup to generate annual revenue of $3 billion post-acquisition.

Requirements:

• Calculate the total acquisition, integration, and development costs.
• Determine the payback period and ROI for the acquisition.
• Analyze the expected revenue and market expansion from the cloud computing startup.
• Discuss the strategic fit of the startup in Microsoft's cloud services portfolio.
• Evaluate the financial implications of the acquisition on Microsoft's financial statements.
• Recommend integration strategies to leverage synergies and enhance profitability.