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FINANCIAL REPORTING & MANAGEMENT ACCOUNTING - Case Study Example

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College
Author : jerrypredovic
Case Study
Miscellaneous
Pages 7 (1757 words)

Summary

Microsoft Corporation which started in 1975 following the launch of Altair 8800 came with the first new microcomputer called Micro Instrumentation and Telemetry System (MITS) which implemented the basic programming language for the system. With the departure of Bill Gates from Harvard University to Albuquerque, New Mexico, he founded Microsoft there…

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FINANCIAL REPORTING & MANAGEMENT ACCOUNTING

From there, they gained a contract from IBM and in 1985, they both partnered in the development of the OS/2 operating system. That same year, her first retail version of Microsoft Windows came out and in 1986 they went public with an initial price of $21 per share, closing the day in $28. Today, Microsoft Corporation stands as the worldwide leader in software, services and varied ideas and solutions that helps not only businesses but broadens and makes knowledge easier. They have as their registered trademarks today, MS-DOS, .NET, office XP, 2007 office system, windows server, and windows versions like, 3.0, 95, 98, 2000, XP and Vista. As of August 2007, the corporation had a total real estate portfolio of 24,166,129square feet (in 565 sites) of which 13,918,070 were leased (in 482 sites) and 10,248,059 were owned (in 83 sites).
Microsoft had a higher profit margin in 2003 which witnessed a sharp drop in 2004. This went up again in 2005 but after that period, it has been dropping yearly. However her return on assets which also dropped in 2004 is increasing from 2005 on a yearly basis. But, the increase on Microsoft's return on equity after her drop from 2003/2004 is very great. Her basic earning power too has improved greatly.
The receivable turnover of Microsoft has been somewhat reducing which denotes the fact that she gives out more free ride to ...
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