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using Microsoft 2018 10k #'s convert the ebit to free cash flow for the next 12 years. Show your work. Income Statements INCOME STATEMENTS -

using Microsoft 2018 10k #'s convert the ebit to free cash flow for the next 12 years. Show your work.

Income Statements

INCOME STATEMENTS - USD ($) shares in Millions, $ in Millions

12 Months Ended

Jun. 30, 2018

Jun. 30, 2017

Jun. 30, 2016

Revenue $ 110,360 $ 96,571 [1] $ 91,154
Cost of revenue 38,353 34,261 32,780
Gross margin 72,007 62,310 [1] 58,374
Research and development 14,726 13,037 11,988
Sales and marketing 17,469 15,461 14,635
General and administrative 4,754 4,481 4,563
Impairment and restructuring 0 306 1,110
Operating income 35,058 29,025 [1],[2] 26,078
Other income (expense), net 1,416 876 (439)
Income before income taxes 36,474 29,901 25,639
Provision for income taxes 19,903 4,412 5,100
Net income $ 16,571 [3] $ 25,489 [1],[2] $ 20,539
Earnings per share:
Basic $ 2.15 $ 3.29 [1] $ 2.59
Diluted $ 2.13 [4] $ 3.25 [1],[2] $ 2.56
Weighted average shares outstanding:
Basic 7,700 7,746 7,925
Diluted 7,794 7,832 8,013
Cash dividends declared per common share $ 1.68 $ 1.56 $ 1.44
Product
Revenue $ 64,497 $ 63,811 $ 67,336
Cost of revenue 15,420 15,175 17,880
Service and Other
Revenue 45,863 32,760 23,818
Cost of revenue $ 22,933 $ 19,086 $ 14,900
[1] On December 8, 2016, we acquired LinkedIn Corporation. LinkedIn has been included in our consolidated results of operations starting on the acquisition date.
[2] Includes $306 million of employee severance expenses primarily related to our sales and marketing restructuring plan, which decreased operating income, net income, and diluted EPS by $306 million, $243 million, and $0.04, respectively.
[3] Reflects the net charge (benefit) related to the TCJA of $13.8 billion for the second quarter, $(104) million for the fourth quarter, and $13.7 billion for fiscal year 2018.
[4] Reflects the net charge (benefit) related to the TCJA, which decreased (increased) diluted EPS $1.78 for the second quarter, $(0.01) for the fourth quarter, and $1.75 for fiscal year 2018.

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