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Microsoft sells computer and software bundles for personal and professional use. They offer a 2-year warranty on the computer, free customer support, and free software
Microsoft sells computer and software bundles for personal and professional use. They offer a 2-year warranty on the computer, free customer support, and free software upgrades. Answer the questions about Microsoft's revenue below.
A.) Should Microsoft recognize the sale's revenue at the time the customer purchases the bundle?
B.) How would Microsoft estimate customer support costs?
C.) How would free software updates impact revenue recognition?
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