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Click here to open the Promotional Communications Manager. The essentials to get it all done. Office Home and Business is for families and small businesses who want classic Office apps and email. A one-time purchase installed on 1 PC or Mac for use at home or work. Microsoft also comes with services like 1 TB of OneDrive storage, 60 Skype minutes per month, and Microsoft chat and phone support. With a subscription, you get the latest versions of the apps and automatically receive updates when they happen.
Office is a one-time purchase that comes with classic apps like Word, Excel, and PowerPoint for PC or Mac, and does not include any of the services that come with a Microsoft subscription. Learn more about the differences between Microsoft and Office in Office Support, or use the comparison chart to help you pick the right Office version for your needs.
Go to Office Support for more steps to download, install, reinstall, activate, or update Office. Learn more. Install most apps and software, like Microsoft , Windows, and Xbox games, via digital download. Improve your skills across core apps and software with free online classes and trainings led by Microsoft Store associates.
Internet access is required to install and activate all the latest releases of Office suites and all Microsoft subscription plans. For Microsoft plans, Internet access is also needed to manage your subscription account, for example to install Office on other PCs or to change billing options. You should also connect to the Internet regularly to keep your version of Office up to date and benefit from automatic upgrades.
If you do not connect to the Internet at least every 31 days, your applications will go into reduced functionality mode, which means that you can view or print your documents, but cannot edit the documents or create new ones. To reactivate your Office applications, simply reconnect to the Internet. You do not need to be connected to the Internet to use the Office applications, such as Word, Excel, and PowerPoint, because the applications are fully installed on your computer.
A Product Key is a unique character alpha-numeric code used to redeem and activate your Office product. You cannot use a product key for an older Office product or a different product to redeem your new copy of Office. To find your Product Key, look for the character alpha-numeric code on the back of the card inside your Office product packaging.
Sometimes the Product Key may be printed on your retail receipt. Get information on locating your product key. Office is available in the languages listed below. Microsoft offers simple and cost-effective solutions for multilingual individuals, families, and small businesses.
Sign in with the Microsoft account that you used to purchase, or have already associated, with the subscription or one-time purchase product, and then follow the onscreen instructions to install Office. Learn more about where to enter your Office product key. To download and install older versions of Office, visit www. The actual download speed of Office depends on the speed of your Internet connection; a broadband Internet connection is recommended for the best download experience.
All versions of the new Office for Windows PCs use a streaming technology that lets you begin to use Office applications before installation is complete. Icons for Office applications are created when you install Office.
You can start the applications by clicking the icons, which are installed in the following locations:. Even if your computer is running a bit version of Windows, we recommend that you install the bit version of Office, because it is more compatible with the applications and add-ins that work with Office. If you do want to install the bit version of Office, you can do so by visiting accounts.
It is not possible to install both the bit version and bit versions of Office on the same computer. Sign me up. Thank you! Stay informed about special deals, the latest products, events, and more from Microsoft Store. Email address required. I would like information, tips, and offers about Microsoft Store and other Microsoft products and services. Click here to read the Privacy Statement. Talk to an expert. Need help? No Thanks. Overview Requirements FAQ. Previous Next. Key benefits.
A one-time purchase. Install on one PC or Mac. Classic Office apps. Classic apps for home and business. Word Excel PowerPoint Outlook. View all options. Top questions. Expand All Collapse All. Internet access is required to install and activate Office, but not to use Office apps such as Word, Excel, and PowerPoint once you have these fully installed on your computer. Yes, the Microsoft Training Center has quick start guides, cheat sheets, tips and tricks, and training courses on how you can make the best use of Office.
Why shop for software at Microsoft Store. Instant software downloads Install most apps and software, like Microsoft , Windows, and Xbox games, via digital download. Learn about digital downloads.
Free virtual workshops Improve your skills across core apps and software with free online classes and trainings led by Microsoft Store associates. Find virtual resources and classes. We’ve got answers. Get one-on-one support any time via chat or phone, or find answers fast with common FAQs. Get support.
Processor Windows 11 or Windows 10 with 1. Internet access Microsoft account See aka. Frequently asked questions. Find frequently asked questions and answers about Office and Microsoft You can check if your device can support your version of Office by viewing the full Office system requirements.
Office applications are tailored to work best on each platform and device. The Office applications available for Mac users and the version numbers may be different from those available for PC users. Microsoft , Office , Office , Office , Office , Office , Office , Office for Mac , and Office for Mac applications can open your documents without any additional action.
Customers using earlier versions of Office may need to download and install a compatibility pack. Documents that you have created belong fully to you. Learn what happens if you cancel your subscription.
If you use any of these services, you already have a Microsoft account that you can use, or you can create a new account. Learn more about a Microsoft account. As part of signing up for a trial or purchasing Office, you will be prompted to sign in with a Microsoft account. You must be signed in with this account to install and manage your Office software, or to use some subscription benefits, including OneDrive storage and Skype minutes. Product keys, redemption, and activation.
Learn more about setting up your account. If you have already created your account, visit accounts. After you associate your Product Key to your Microsoft account, you can sign in to accounts.
But it’s a good idea to keep your Product Key in a secure location as proof of purchase or to help our support agents trace your product. It’s best to use your existing Microsoft account. If you use other Microsoft products or services e. Xbox, OneDrive, Outlook. If you forgot your username or password, recover those details by returning to sign in and clicking on Can’t access your account?
Language support for Office. Learn more about the Language Accessory Pack for Office. Download and install Office. Microsoft Family can be shared among 6 users and installed on multiple devices, including PCs, Macs, iPads, iPhones, Android tablets, and Android phones. Microsoft Personal is for 1 user and can also be installed on multiple devices. You can purchase Microsoft subscriptions for both Mac and Windows. The Publisher and Access applications are not available for Mac.
Current Office application versions for Microsoft and Office are available for both Windows and Mac.
Feb 14, · Microsoft’s greenhouse gas emissions by scope ; Number of Microsoft employees , by business unit; Price of selected acquisitions by Microsoft ; Microsoft Corporation ad spend Jun 07, · Upgrade to Microsoft Edge to take advantage of the latest features, security updates, and technical support. Download Microsoft Edge More info Table of contents. Browse code samples. Get started with Microsoft developer tools and technologies. Explore our samples and discover the things you can build. Theme. Free returns. Get the Office Home & Business at Microsoft Store and compare products with the latest customer reviews and ratings. Download or order for delivery for free. Excel, PowerPoint, and Outlook Microsoft support included for first 60 days at no extra cost Compatible with Windows 11, Windows 10, or macOS* Works with Microsoft Teams. Of the million shares repurchased in fiscal year , million shares were repurchased for $ billion under the share repurchase program approved by our Board of Directors on September 16, and 47 million shares were repurchased for $ billion under the share repurchase program that was announced on September 22, and expired on September .
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Click here to read the Privacy Statement. Talk to an expert. Need help? No Thanks. Overview Requirements FAQ. Previous Next. Key benefits. A one-time purchase. Install on one PC or Mac. Classic Office apps. Classic apps for home and business. Word Excel PowerPoint Outlook. View all options. Top questions. Expand All Collapse All. Internet access is required to install and activate Office, but not to use Office apps such as Word, Excel, and PowerPoint once you have these fully installed on your computer.
Yes, the Microsoft Training Center has quick start guides, cheat sheets, tips and tricks, and training courses on how you can make the best use of Office. Why shop for software at Microsoft Store.
Instant software downloads Install most apps and software, like Microsoft , Windows, and Xbox games, via digital download. Learn about digital downloads. Free virtual workshops Improve your skills across core apps and software with free online classes and trainings led by Microsoft Store associates. Find virtual resources and classes.
We’ve got answers. Get one-on-one support any time via chat or phone, or find answers fast with common FAQs. Get support. Processor Windows 11 or Windows 10 with 1. Internet access Microsoft account See aka. Frequently asked questions. Find frequently asked questions and answers about Office and Microsoft You can check if your device can support your version of Office by viewing the full Office system requirements.
Office applications are tailored to work best on each platform and device. The Office applications available for Mac users and the version numbers may be different from those available for PC users. Microsoft , Office , Office , Office , Office , Office , Office , Office for Mac , and Office for Mac applications can open your documents without any additional action. Customers using earlier versions of Office may need to download and install a compatibility pack.
Documents that you have created belong fully to you. Learn what happens if you cancel your subscription. If you use any of these services, you already have a Microsoft account that you can use, or you can create a new account. Learn more about a Microsoft account.
As part of signing up for a trial or purchasing Office, you will be prompted to sign in with a Microsoft account. You must be signed in with this account to install and manage your Office software, or to use some subscription benefits, including OneDrive storage and Skype minutes. Product keys, redemption, and activation. Learn more about setting up your account. If you have already created your account, visit accounts.
After you associate your Product Key to your Microsoft account, you can sign in to accounts. But it’s a good idea to keep your Product Key in a secure location as proof of purchase or to help our support agents trace your product.
It’s best to use your existing Microsoft account. If you use other Microsoft products or services e. Xbox, OneDrive, Outlook. If you forgot your username or password, recover those details by returning to sign in and clicking on Can’t access your account?
Language support for Office. Learn more about the Language Accessory Pack for Office. Download and install Office. Microsoft Family can be shared among 6 users and installed on multiple devices, including PCs, Macs, iPads, iPhones, Android tablets, and Android phones. Microsoft Personal is for 1 user and can also be installed on multiple devices. You can purchase Microsoft subscriptions for both Mac and Windows. The Publisher and Access applications are not available for Mac.
Current Office application versions for Microsoft and Office are available for both Windows and Mac. Learn about which Office versions can work side-by-side on the same device in this article. Windows 11 and Windows Start menu. You can also type the name of the application you want to launch for example, Word in Cortana.
You can also pin an application shortcut to your Start screen or your desktop taskbar for convenient access. Mac OS X
Microsoft Office (codenamed Office 14) is a version of Microsoft Office for Microsoft Windows unveiled by Microsoft on May 15, , and released to manufacturing on April 15, with general availability on June 15, as the successor to Office and the predecessor to Office The macOS equivalent, Microsoft Office for Mac was . Free returns. Get the Office Home & Business at Microsoft Store and compare products with the latest customer reviews and ratings. Download or order for delivery for free. Excel, PowerPoint, and Outlook Microsoft support included for first 60 days at no extra cost Compatible with Windows 11, Windows 10, or macOS* Works with Microsoft Teams. Sep 15, · Microsoft committed to helping 25 million people worldwide acquire the new digital skills needed in a COVID economy. Microsoft’s Soul and Imagine a Better Future for Everyone,” told the CEO’s personal journey from his childhood in India to the helm of one of the world’s most well-known companies. Microsoft went public with a.
Jun 07, · Upgrade to Microsoft Edge to take advantage of the latest features, security updates, and technical support. Download Microsoft Edge More info Table of contents. Browse code samples. Get started with Microsoft developer tools and technologies. Explore our samples and discover the things you can build. Theme. Microsoft Corporation is an American multinational technology corporation which produces computer software, consumer electronics, personal computers, and related services headquarted at the Microsoft Redmond campus located in Redmond, Washington, United replace.me best-known software products are the Microsoft Windows line of operating systems, the Microsoft . Schuylkill League c/o Stephen Toth, League President Tamaqua Area School District West Broad Street Tamaqua, PA Telephone: Fax:
Microsoft outlook 2016 price in india free.About this item
out of 5 stars: Best Sellers Rank # in Software (See Top in Software) #4 in Office Suites SoftwareDate First Available: 22 May Manufacturer: Microsoft Corporation (I) Pvt. Ltd., Microsoft Corporation (I) Pvt. Ltd., Cyber City, 10th Floor, Tower B & C, DLF Building No.5 (Epitome, DLF Phase III, Gurugram, Haryana Free returns. Get the Office Home & Business at Microsoft Store and compare products with the latest customer reviews and ratings. Download or order for delivery for free. Excel, PowerPoint, and Outlook Microsoft support included for first 60 days at no extra cost Compatible with Windows 11, Windows 10, or macOS* Works with Microsoft Teams. Feb 14, · Microsoft’s greenhouse gas emissions by scope ; Number of Microsoft employees , by business unit; Price of selected acquisitions by Microsoft ; Microsoft Corporation ad spend Schuylkill League c/o Stephen Toth, League President Tamaqua Area School District West Broad Street Tamaqua, PA Telephone: Fax: Jul 07, · Launch Microsoft Excel om Mac OS; Move to your Workbook; Locate and choose the Insert tab; Next, move to the option Select Object. You should find the option for Insert Object. You can either click on the options Microsoft Word Document to create a new file or click on From File option to embed or insert an existing file. Click on OK and you.
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Top reviews from India. There was a problem filtering reviews right now. Please try again later. Verified Purchase. The product key was delivered in a sealed, genuine package – I have activated it for Mac and it is working. Installation can be a bit of a problem as clear steps are not provided. Go to the setup page given on the packaging and create a Microsoft account if you don’t have one already 2.
Look for the option ‘Enter Product Key’ on your Microsoft dashboard 3. Enter the key, then the installer file will be shown to you – download and install 4. When you launch the application for the first time, sign in via the same Microsoft account and the product license will already be activated. The key is tampered on receipt means it is pirated. The product is a Hoax, it clearly says Microsoft office for Mac and PC, but when I went to Install it the key code was saying error.
I spoke to Microsoft regarding the same they said that 1. The key code was already use 2. The product was only for window When I made a complaint to amazon they said it was non refundable and connected me to the dealer, the dealer told me this was an issue with amazon and that he could only provide me Microsoft office Honestly I would not suggest anybody to purchase this product rather physically go to an Apple Store, or a Microsoft store and purchase the same.
Buy directly from Microsoft instead. I purchased this product a fortnight back and unable to activate it. The problem is not just me and my computer but the same problem is being faced by my son and daughter on their respective laptops.
The product has a one year life and can be used by six people in the family. Despite all my attempts to get in touch with Microsoft are going in vain. The toll free numbers keep you on hold forever. Amazon on its part is not willing to have anything to do with the product and nor is it willing to replace it.
I don’t know what I am supposed to do next???? As many have indicated, don’t buy this product from Amazon Cloudtail. According to Microsoft. Please do not hesitate to contact me.
Industry-specific and extensively researched technical data partially from exclusive partnerships. A paid subscription is required for full access. You need a Single Account for unlimited access. Additional Information. Microsoft switched to monthly active users in Q3 It has million as of July Biggest companies in the world by market capitalization Consumer Electronics. Lifetime global unit sales of video game consoles as of September Operating systems market share of desktop PCs , by month.
Current-gen video game console unit sales worldwide As a Premium user you get access to the detailed source references and background information about this statistic. As a Premium user you get access to background information and details about the release of this statistic.
You only have access to basic statistics. This statistic is not included in your account. Skip to main content Try our corporate solution for free! Single Accounts Corporate Solutions Universities. Popular Statistics Topics Markets. Premium statistics. Read more. The number of daily active users of Microsoft Teams have almost doubled the past year, increasing from 75 million users in April to million as of second quarter of Due to the impact of the coronavirus COVID outbreak and the growing practices of social distancing and working from home, Microsoft has seen dramatic increases in the daily use of their communication and collaboration platform within a short period of time.
Microsoft Teams is part of Microsoft , a set of collaboration apps and services launched in July Compared to the same amount of days in March , the daily average in-home data usage increased by a total of 4.
Data consumption from the usage of gaming consoles and smartphones increased the most, although the increases can be observed across nearly all device categories. Archived PDF from the original on August 4, June 6, Archived from the original on February 19, Retrieved November 11, Archived from the original on December 20, March 16, Retrieved February 9, July 23, November 6, Archived from the original on February 12, Archived from the original on December 1, Archived from the original on June 19, Retrieved February 11, Retrieved January 26, May 8, Retrieved January 20, December 14, April 12, Archived from the original on December 28, Retrieved January 19, Retrieved January 23, Archived PDF from the original on August 30, Archived from the original on February 3, Retrieved February 1, Archived from the original on March 28, October Tom’s Hardware.
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May 15, Archived from the original on October 20, To determine whether an Office installation is a volume licensed version, check the Office installation disc to see whether it contains a folder named Admin.
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Redmond Magazine. Retrieved December 24, Microsoft Office. History Microsoft Discontinued shared tools Accounting Docs. History Outline. Bill Gates Paul Allen. John W. Where do you want to go today? Alcatel-Lucent v. Microsoft Apple v.
Microsoft European Union Microsoft competition case Microsoft v. Lindows Microsoft v. MikeRoweSoft Microsoft v. Shah United States v. Microsoft antitrust case Microsoft Ireland case. Authority control: National libraries Germany Czech Republic. Namespaces Article Talk. Views Read Edit View history. Help Learn to edit Community portal Recent changes Upload file.
Download as PDF Printable version. June 15, ; 12 years ago [1]. IA and x Microsoft Office Office suite. November 17, [62]. April 8, [63]. Starter edition. Viewer Separate. SharePoint Workspace SharePoint Designer
out of 5 stars: Best Sellers Rank # in Software (See Top in Software) #4 in Office Suites SoftwareDate First Available: 22 May Manufacturer: Microsoft Corporation (I) Pvt. Ltd., Microsoft Corporation (I) Pvt. Ltd., Cyber City, 10th Floor, Tower B & C, DLF Building No.5 (Epitome, DLF Phase III, Gurugram, Haryana Feb 14, · Microsoft’s greenhouse gas emissions by scope ; Number of Microsoft employees , by business unit; Price of selected acquisitions by Microsoft ; Microsoft Corporation ad spend Jul 07, · Launch Microsoft Excel om Mac OS; Move to your Workbook; Locate and choose the Insert tab; Next, move to the option Select Object. You should find the option for Insert Object. You can either click on the options Microsoft Word Document to create a new file or click on From File option to embed or insert an existing file. Click on OK and you.
Free returns. Get the Office Home & Business at Microsoft Store and compare products with the latest customer reviews and ratings. Download or order for delivery for free. Excel, PowerPoint, and Outlook Microsoft support included for first 60 days at no extra cost Compatible with Windows 11, Windows 10, or macOS* Works with Microsoft Teams. Schuylkill League c/o Stephen Toth, League President Tamaqua Area School District West Broad Street Tamaqua, PA Telephone: Fax: Microsoft Corporation is an American multinational technology corporation which produces computer software, consumer electronics, personal computers, and related services headquarted at the Microsoft Redmond campus located in Redmond, Washington, United replace.me best-known software products are the Microsoft Windows line of operating systems, the Microsoft .
Create your best work. Work anywhere with apps that are always updated. One solution for your family across all your devices. The premium Office subscription for all your devices with exclusive monthly upgrades and new features. Application availability and features that come with Office vary by platform and device, current Office application versions for Office are Office for Windows and Mac.
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Exclusive New Features. Ink Editor in Word No printing required. Designer in PowerPoint Create beautiful slides in seconds. Editor in Word Bring out your best writing. QuickStarter in PowerPoint Jumpstart your presentations.
Researcher in Word Explore, add and cite content in word. Ink to Match Learn how problems are solved. Morph in PowerPoint Create cinematic motion in one click. Customer reviews. How are ratings calculated? Instead, our system considers things like how recent a review is and if the reviewer bought the item on Amazon. It also analyses reviews to verify trustworthiness. Images in this review. Reviews with images. See all customer images. Top reviews Most recent Top reviews. Top reviews from India.
There was a problem filtering reviews right now. Please try again later. Verified Purchase. The product key was delivered in a sealed, genuine package – I have activated it for Mac and it is working. Installation can be a bit of a problem as clear steps are not provided. Go to the setup page given on the packaging and create a Microsoft account if you don’t have one already 2.
Look for the option ‘Enter Product Key’ on your Microsoft dashboard 3. Enter the key, then the installer file will be shown to you – download and install 4. When you launch the application for the first time, sign in via the same Microsoft account and the product license will already be activated.
The key is tampered on receipt means it is pirated. The product is a Hoax, it clearly says Microsoft office for Mac and PC, but when I went to Install it the key code was saying error. I spoke to Microsoft regarding the same they said that 1. The key code was already use 2.
The product was only for window When I made a complaint to amazon they said it was non refundable and connected me to the dealer, the dealer told me this was an issue with amazon and that he could only provide me Microsoft office Honestly I would not suggest anybody to purchase this product rather physically go to an Apple Store, or a Microsoft store and purchase the same.
Buy directly from Microsoft instead. I purchased this product a fortnight back and unable to activate it.
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Archived from the original on May 25, The Guardian. Archived from the original on December 17, Overview Requirements FAQ. Previous Next. Key benefits. A one-time purchase. Install on one PC or Mac. Classic Office apps. Classic apps for home and business. Word Excel PowerPoint Outlook. View all options. Top questions. Expand All Collapse All. Internet access is required to install and activate Office, but not to use Office apps such as Word, Excel, and PowerPoint once you have these fully installed on your computer.
Yes, the Microsoft Training Center has quick start guides, cheat sheets, tips and tricks, and training courses on how you can make the best use of Office. Why shop for software at Microsoft Store. Instant software downloads Install most apps and software, like Microsoft , Windows, and Xbox games, via digital download. Learn about digital downloads. Free virtual workshops Improve your skills across core apps and software with free online classes and trainings led by Microsoft Store associates.
Find virtual resources and classes. We’ve got answers. Get one-on-one support any time via chat or phone, or find answers fast with common FAQs. Get support. Processor Windows 11 or Windows 10 with 1. Internet access Microsoft account See aka.
Frequently asked questions. Find frequently asked questions and answers about Office and Microsoft The only difference would be to insert it as an attachment or a link.
The procedure for inserting or embedding the Word document as an attachment into an Excel sheet is similar, with a little difference —. Please note the document needs to be sent along with the Excel sheet to be able to access it. Also, note that the tips indicated here should apply to the task of inserting any file. You can follow the same format to add your records that may include PDF files, images, presentations, and other files. The process remains entirely the same. Inserting a Word document into an Excel Workbook should be easy and straightforward.
The steps are simple enough as in the case of Windows. That does it, and your Microsoft Word document will be added into the Excel workbook. The same procedure should be applicable to insert any of the file files like image files or any other supported file formats. However, it should be worthwhile to notice that the file types supported on the Mac version of the Microsoft Excel are quite limited when compared to the similar options available on Windows version.
Those were a few tips that should help you embed and insert your Word documents into an Excel workbook. While this discussion has been about how to integrate or add a Word document into your Excel Workbook, the tips here should also help insert any files effectively into your Excel worksheet.
Critical accounting policies for us include revenue recognition, impairment of investment securities, goodwill, research and development costs, contingencies, income taxes, and inventories.
Revenue recognition for multiple-element arrangements requires judgment to determine if multiple elements exist, whether elements can be accounted for as separate units of accounting, and if so, the fair value for each of the elements. Judgment is also required to assess whether future releases of certain software represent new products or upgrades and enhancements to existing products.
Certain volume licensing arrangements include a perpetual license for current products combined with rights to receive unspecified future versions of software products and are accounted for as subscriptions, with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period.
Software updates are evaluated on a case-by-case basis to determine whether they meet the definition of an upgrade, which may require revenue to be deferred and recognized when the upgrade is delivered. If updates are determined to not meet the definition of an upgrade, revenue is generally recognized as products are shipped or made available.
Microsoft enters into arrangements that can include various combinations of software, services, and hardware. Where elements are delivered over different periods of time, and when allowed under U.
GAAP, revenue is allocated to the respective elements based on their relative selling prices at the inception of the arrangement, and revenue is recognized as each element is delivered. For software elements, we follow the industry-specific software guidance which only allows for the use of VSOE in establishing fair value. Generally, VSOE is the price charged when the deliverable is sold separately or the price established by management for a product that is not yet sold if it is probable that the price will not change before introduction into the marketplace.
ESPs are established as best estimates of what the selling prices would be if the deliverables were sold regularly on a stand-alone basis. Our process for determining ESPs requires judgment and considers multiple factors that may vary over time depending upon the unique facts and circumstances related to each deliverable.
In January , we announced Windows 10 would be free to all qualified existing users of Windows 7 and Windows 8. This offer differs from historical offers preceding the launch of new versions of Windows as it is being made available for free to existing users in addition to new customers after the offer announcement.
We evaluated the nature and accounting treatment of the Windows 10 offer and determined that it represents a marketing and promotional activity, in part because the offer is being made available for free to existing users. As this is a marketing and promotional activity, revenue recognition of new sales of Windows 8 will continue to be recognized as delivered.
Customers purchasing a Windows 10 license will receive unspecified updates and upgrades over the life of their Windows 10 device at no additional cost. As these updates and upgrades will not be sold on a stand-alone basis, we are unable to establish VSOE. Accordingly, revenue from licenses of Windows 10 is recognized ratably over the estimated life of the related device, which ranges between two to four years. We currently are evaluating the impact of the new standard related to revenue recognition, which we anticipate will have a material impact on our consolidated financial statements.
We review investments quarterly for indicators of other-than-temporary impairment. This determination requires significant judgment. In making this judgment, we employ a systematic methodology quarterly that considers available quantitative and qualitative evidence in evaluating potential impairment of our investments. If the cost of an investment exceeds its fair value, we evaluate, among other factors, general market conditions, credit quality of debt instrument issuers, the duration and extent to which the fair value is less than cost, and for equity securities, our intent and ability to hold, or plans to sell, the investment.
For fixed-income securities, we also evaluate whether we have plans to sell the security or it is more likely than not that we will be required to sell the security before recovery.
We also consider specific adverse conditions related to the financial health of and business outlook for the investee, including industry and sector performance, changes in technology, and operational and financing cash flow factors. Once a decline in fair value is determined to be other-than-temporary, an impairment charge is recorded to other income expense , net and a new cost basis in the investment is established. We allocate goodwill to reporting units based on the reporting unit expected to benefit from the business combination.
We evaluate our reporting units on an annual basis and, if necessary, reassign goodwill using a relative fair value allocation approach. Goodwill is tested for impairment at the reporting unit level operating segment or one level below an operating segment on an annual basis May 1 for us and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value.
These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit. Application of the goodwill impairment test requires judgment, including the identification of reporting units, assignment of assets and liabilities to reporting units, assignment of goodwill to reporting units, and determination of the fair value of each reporting unit.
The fair value of each reporting unit is estimated primarily through the use of a discounted cash flow methodology. This analysis requires significant judgments, including estimation of future cash flows, which is dependent on internal forecasts, estimation of the long-term rate of growth for our business, estimation of the useful life over which cash flows will occur, and determination of our weighted average cost of capital.
The estimates used to calculate the fair value of a reporting unit change from year to year based on operating results, market conditions, and other factors. Changes in these estimates and assumptions could materially affect the determination of fair value and goodwill impairment for each reporting unit. Costs incurred internally in researching and developing a computer software product are charged to expense until technological feasibility has been established for the product.
Once technological feasibility is established, all software costs are capitalized until the product is available for general release to customers. Judgment is required in determining when technological feasibility of a product is established.
We have determined that technological feasibility for our software products is reached after all high-risk development issues have been resolved through coding and testing. Generally, this occurs shortly before the products are released to manufacturing. The amortization of these costs is included in cost of revenue over the estimated life of the products. The outcomes of legal proceedings and claims brought against us are subject to significant uncertainty.
An estimated loss from a loss contingency such as a legal proceeding or claim is accrued by a charge to income if it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated. In determining whether a loss should be accrued we evaluate, among other factors, the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss.
Changes in these factors could materially impact our consolidated financial statements. We recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. Accounting literature also provides guidance on derecognition of income tax assets and liabilities, classification of deferred income tax assets and liabilities, accounting for interest and penalties associated with tax positions, and income tax disclosures.
Judgment is required in assessing the future tax consequences of events that have been recognized on our consolidated financial statements or tax returns. Variations in the actual outcome of these future tax consequences could materially impact our consolidated financial statements. Inventories are stated at average cost, subject to the lower of cost or market. Cost includes materials, labor, and manufacturing overhead related to the purchase and production of inventories.
We regularly review inventory quantities on hand, future purchase commitments with our suppliers, and the estimated utility of our inventory.
These reviews include analysis of demand forecasts, product life cycle status, product development plans, current sales levels, pricing strategy, and component cost trends. If our review indicates a reduction in utility below carrying value, we reduce our inventory to a new cost basis through a charge to cost of revenue. Management is responsible for the preparation of the consolidated financial statements and related information that are presented in this report.
The Company designs and maintains accounting and internal control systems to provide reasonable assurance at reasonable cost that assets are safeguarded against loss from unauthorized use or disposition, and that the financial records are reliable for preparing consolidated financial statements and maintaining accountability for assets. These systems are augmented by written policies, an organizational structure providing division of responsibilities, careful selection and training of qualified personnel, and a program of internal audits.
The Board of Directors, through its Audit Committee, consisting solely of independent directors of the Company, meets periodically with management, internal auditors, and our independent registered public accounting firm to ensure that each is meeting its responsibilities and to discuss matters concerning internal controls and financial reporting. Frank H. We are exposed to economic risk from foreign exchange rates, interest rates, credit risk, equity prices, and commodity prices.
A portion of these risks is hedged, but they may impact our consolidated financial statements. Certain forecasted transactions, assets, and liabilities are exposed to foreign currency risk. We monitor our foreign currency exposures daily and use hedges where practicable to offset the risks and maximize the economic effectiveness of our foreign currency positions.
Principal currencies hedged include the euro, Japanese yen, British pound, Canadian dollar, and Australian dollar. Our fixed-income portfolio is diversified across credit sectors and maturities, consisting primarily of investment-grade securities. The credit risk and average maturity of the fixed-income portfolio is managed to achieve economic returns that correlate to certain global and domestic fixed-income indices. Our equity portfolio consists of global, developed, and emerging market securities that are subject to market price risk.
We manage the securities relative to certain global and domestic indices and expect their economic risk and return to correlate with these indices. We use broad-based commodity exposures to enhance portfolio returns and facilitate portfolio diversification. Our investment portfolio has exposure to a variety of commodities, including precious metals, energy, and grain.
We manage these exposures relative to global commodity indices and expect their economic risk and return to correlate with these indices. VaR is the expected loss, for a given confidence level, in the fair value of our portfolio due to adverse market movements over a defined time horizon. The VaR model is not intended to represent actual losses in fair value, including determinations of other-than-temporary losses in fair value in accordance with U. GAAP, but is used as a risk estimation and management tool.
The distribution of the potential changes in total market value of all holdings is computed based on the historical volatilities and correlations among foreign exchange rates, interest rates, equity prices, and commodity prices, assuming normal market conditions. The VaR is calculated as the total loss that will not be exceeded at the Several risk factors are not captured in the model, including liquidity risk, operational risk, and legal risk.
The following table sets forth the one-day VaR for substantially all of our positions as of June 30, and and for the year ended June 30, We have recast certain prior period amounts to conform to the current period presentation, with no impact on consolidated net income or cash flows. The consolidated financial statements include the accounts of Microsoft Corporation and its subsidiaries.
Intercompany transactions and balances have been eliminated. Investments through which we are not able to exercise significant influence over the investee and which do not have readily determinable fair values are accounted for under the cost method. As a result, beginning in fiscal year , we report our financial performance based on our new segments described in Note 21 — Segment Information and Geographic Data.
We have recast certain prior period amounts to conform to the way we internally manage and monitor segment performance during fiscal year This change primarily impacted Note 10 — Goodwill, Note 15 — Unearned Revenue, and Note 21 — Segment Information and Geographic Data, with no impact on consolidated net income or cash flows.
Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses. Examples of assumptions include: the elements comprising a software arrangement, including the distinction between upgrades or enhancements and new products; when technological feasibility is achieved for our products; the potential outcome of future tax consequences of events that have been recognized on our consolidated financial statements or tax returns; and determining when investment impairments are other-than-temporary.
Assets and liabilities recorded in foreign currencies are translated at the exchange rate on the balance sheet date. Revenue and expenses are translated at average rates of exchange prevailing during the year.
Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the fee is fixed or determinable, and collectability is probable.
Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities.
For software elements, we follow the industry specific software guidance which only allows for the use of VSOE in establishing fair value. Technology guarantee programs are accounted for as multiple-element arrangements as customers receive free or significantly discounted rights to use upcoming new versions of a software product if they license existing versions of the product during the eligibility period.
Revenue is allocated between the existing product and the new product, and revenue allocated to the new product is deferred until that version is delivered. The revenue allocation is based on the VSOE of fair value of the products. The VSOE of fair value for upcoming new products are based on the price determined by management having the relevant authority when the element is not yet sold separately, but is expected to be sold in the near future at the price set by management.
As these updates and upgrades will not be sold on a stand-alone basis, we are unable to establish VSOE of fair value. Certain volume licensing arrangements include a perpetual license for current products combined with rights to receive unspecified future versions of software products, which we have determined are additional software products and are therefore accounted for as subscriptions, with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period.
Arrangements that include term-based licenses for current products with the right to use unspecified future versions of the software during the coverage period, are also accounted for as subscriptions, with revenue recognized ratably over the coverage period.
Revenue from cloud-based services arrangements that allow for the use of a hosted software product or service over a contractually determined period of time without taking possession of software are accounted for as subscriptions with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period beginning on the date the service is made available to customers.
Revenue from cloud-based services arrangements that are provided on a consumption basis for example, the amount of storage used in a particular period is recognized commensurate with the customer utilization of such resources. Some volume licensing arrangements include time-based subscriptions for cloud-based services and software offerings that are accounted for as subscriptions.
These arrangements are considered multiple-element arrangements. However, because all elements are accounted for as subscriptions and have the same coverage period and delivery pattern, they have the same revenue recognition timing. Revenue related to licensing for games published by third parties for use on the Xbox consoles is recognized when games are manufactured by the game publishers. Display advertising revenue is recognized as advertisements are displayed. Search advertising revenue is recognized when the ad appears in the search results or when the action necessary to earn the revenue has been completed.
Consulting services revenue is recognized as services are rendered, generally based on the negotiated hourly rate in the consulting arrangement and the number of hours worked during the period. Consulting revenue for fixed-price services arrangements is recognized as services are provided. Cost of revenue includes: manufacturing and distribution costs for products sold and programs licensed; operating costs related to product support service centers and product distribution centers; costs incurred to include software on PCs sold by OEMs, to drive traffic to our websites, and to acquire online advertising space; costs incurred to support and maintain Internet-based products and services, including datacenter costs and royalties; warranty costs; inventory valuation adjustments; costs associated with the delivery of consulting services; and the amortization of capitalized software development costs.
Capitalized software development costs are amortized over the estimated lives of the products. We provide for the estimated costs of fulfilling our obligations under hardware and software warranties at the time the related revenue is recognized.
For hardware warranties, we estimate the costs based on historical and projected product failure rates, historical and projected repair costs, and knowledge of specific product failures if any.
The specific hardware warranty terms and conditions vary depending upon the product sold and the country in which we do business, but generally include parts and labor over a period generally ranging from 90 days to three years. For software warranties, we estimate the costs to provide bug fixes, such as security patches, over the estimated life of the software.
We regularly reevaluate our estimates to assess the adequacy of the recorded warranty liabilities and adjust the amounts as necessary. Research and development expenses also include third-party development and programming costs, localization costs incurred to translate software for international markets, and the amortization of purchased software code and services content.
Such costs related to software development are included in research and development expense until the point that technological feasibility is reached, which for our software products, is generally shortly before the products are released to manufacturing. Once technological feasibility is reached, such costs are capitalized and amortized to cost of revenue over the estimated lives of the products.
Sales and marketing expenses include payroll, employee benefits, stock-based compensation expense, and other headcount-related expenses associated with sales and marketing personnel, and the costs of advertising, promotions, trade shows, seminars, and other programs. Advertising costs are expensed as incurred. Compensation cost for stock awards is measured at the fair value on the grant date and recognized as expense, net of estimated forfeitures, over the related service period using the straight-line method.
The fair value of stock awards is based on the quoted price of our common stock on the grant date less the present value of expected dividends not received during the vesting period.
Income tax expense includes U. Certain income and expenses are not reported in tax returns and financial statements in the same year. The tax effect of such temporary differences is reported as deferred income taxes. Deferred tax assets are reported net of a valuation allowance when it is more likely than not that a tax benefit will not be realized.
All deferred income taxes are classified as long-term on our consolidated balance sheets. We account for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. May 6, Archived from the original on February 5, August 5, Retrieved February 5, May 17, Archived from the original on January 18, July 31, Archived from the original on September 29, Retrieved January 14, Archived from the original on March 31, Archived from the original on January 7, September 6, Archived from the original on April 24, Retrieved April 7, Archived PDF from the original on August 29, Retrieved January 15, Archived from the original on June 25, Archived from the original on June 12, Archived from the original on June 16, Office Professional Plus is available through Volume Licensing only.
May 15, Archived from the original on October 20, To determine whether an Office installation is a volume licensed version, check the Office installation disc to see whether it contains a folder named Admin.
If the Admin folder exists, the disk is a volume license edition. Archived from the original on May 12, Retrieved April 30, Archived from the original on May 21, Dennis Publishing. Archived from the original on January 27, Retrieved April 28, PC Advisor.
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Telegraph Media Group. Channel Pro. October 1, Archived from the original on April 13, June 22, Laptop Magazine. Here’s a chart”. Garmon, Jay ed. Notebook Review. Archived from the original on April 2, NPD Group Blog. NPD Group. Archived from the original on July 17, Business Insider. Fortune Magazine.
Time Inc. Archived from the original on August 3, Computer Weekly. BBC News. The Spokesman-Review. Cowles Publishing Company. January 28, Archived from the original on August 16, January 27, Archived from the original on September 11, January 6, Archived from the original on October 12, July 21, Archived from the original on March 18, Archived from the original on May 20, MCP Mag.
Redmond Magazine. Retrieved December 24, Microsoft Office. History Microsoft Discontinued shared tools Accounting Docs. History Outline. Bill Gates Paul Allen. John W.
Если вам угодно использовать это вульгарное слово. – Но… офицер ничего не сказал о… – Разумеется. Я не сказал ему про спутницу.
Learn more about where to enter your Office product key. To download and install older versions of Office, visit www. The actual download speed of Office depends on the speed of your Internet connection; a broadband Internet connection is recommended for the best download experience. All versions of the new Office for Windows PCs use a streaming technology that lets you begin to use Office applications before installation is complete.
Icons for Office applications are created when you install Office. You can start the applications by clicking the icons, which are installed in the following locations:. Even if your computer is running a bit version of Windows, we recommend that you install the bit version of Office, because it is more compatible with the applications and add-ins that work with Office.
If you do want to install the bit version of Office, you can do so by visiting accounts. It is not possible to install both the bit version and bit versions of Office on the same computer. Sign me up. Thank you! Stay informed about special deals, the latest products, events, and more from Microsoft Store. Email address required. I would like information, tips, and offers about Microsoft Store and other Microsoft products and services.
Click here to read the Privacy Statement. Talk to an expert. Need help? No Thanks. Overview Requirements FAQ. Previous Next. Key benefits. A one-time purchase. Install on one PC or Mac. Classic Office apps. Classic apps for home and business. Word Excel PowerPoint Outlook.
View all options. Top questions. Expand All Collapse All. Internet access is required to install and activate Office, but not to use Office apps such as Word, Excel, and PowerPoint once you have these fully installed on your computer.
Yes, the Microsoft Training Center has quick start guides, cheat sheets, tips and tricks, and training courses on how you can make the best use of Office. Retrieved January 23, Archived PDF from the original on August 30, Archived from the original on February 3, Retrieved February 1, Archived from the original on March 28, October Tom’s Hardware. Retrieved March 23, Archived from the original on January 31, Retrieved January 31, May 6, Archived from the original on February 5, August 5, Retrieved February 5, May 17, Archived from the original on January 18, July 31, Archived from the original on September 29, Retrieved January 14, Archived from the original on March 31, Archived from the original on January 7, September 6, Archived from the original on April 24, Retrieved April 7, Archived PDF from the original on August 29, Retrieved January 15, Archived from the original on June 25, Archived from the original on June 12, Archived from the original on June 16, Office Professional Plus is available through Volume Licensing only.
May 15, Archived from the original on October 20, To determine whether an Office installation is a volume licensed version, check the Office installation disc to see whether it contains a folder named Admin. If the Admin folder exists, the disk is a volume license edition. Archived from the original on May 12, Retrieved April 30, Archived from the original on May 21, Dennis Publishing. Archived from the original on January 27, Retrieved April 28, PC Advisor.
Archived from the original on March 22, Archived from the original on June 3, Archived from the original on May 31, Four Questions to Ask when Choosing”. Archived from the original on June 10, Archived from the original on April 21, Archived from the original on May 22, Archived from the original on April 22, The Telegraph. Telegraph Media Group. Channel Pro. October 1, Archived from the original on April 13, June 22, Laptop Magazine. Here’s a chart”. Garmon, Jay ed. Notebook Review.
Archived from the original on April 2, NPD Group Blog. NPD Group. Archived from the original on July 17, Business Insider. Fortune Magazine. Time Inc. Archived from the original on August 3, Computer Weekly. BBC News. The Spokesman-Review.
Cowles Publishing Company. January 28, Archived from the original on August 16, January 27, Archived from the original on September 11, January 6, Archived from the original on October 12, July 21, Archived from the original on March 18, Archived from the original on May 20, MCP Mag.
Redmond Magazine. Retrieved December 24, Microsoft Office. History Microsoft Discontinued shared tools Accounting Docs. History Outline. Bill Gates Paul Allen. John W. Where do you want to go today? Alcatel-Lucent v. Microsoft Apple v. Microsoft European Union Microsoft competition case Microsoft v. Lindows Microsoft v. MikeRoweSoft Microsoft v.
Shah United States v. Microsoft antitrust case Microsoft Ireland case. Authority control: National libraries Germany Czech Republic. Namespaces Article Talk. In addition, all of our broker-priced investments have a sufficient level of trading volume to demonstrate that the fair values used are appropriate for these investments.
Our fair value processes include controls that are designed to ensure appropriate fair values are recorded. These controls include model validation, review of key model inputs, analysis of period-over-period fluctuations, and independent recalculation of prices where appropriate.
We issued debt to take advantage of favorable pricing and liquidity in the debt markets, reflecting our credit rating and the low interest rate environment. The proceeds of these issuances were or will be used for general corporate purposes, which may include, among other things, funding for working capital, capital expenditures, repurchases of capital stock, acquisitions, and repayment of existing debt.
Unearned revenue as of June 30, was comprised mainly of unearned revenue from volume licensing programs. Unearned revenue from volume licensing programs represents customer billings for multi-year licensing arrangements paid for either at inception of the agreement or annually at the beginning of each coverage period and accounted for as subscriptions with revenue recognized ratably over the coverage period.
Unearned revenue as of June 30, also included payments for: Windows 10 licenses; post-delivery support and consulting services to be performed in the future; Office subscriptions; Xbox Live subscriptions; Microsoft Dynamics business solutions products; Skype prepaid credits and subscriptions; Bundled Offerings; and other offerings for which we have been paid in advance and earn the revenue when we provide the service or software, or otherwise meet the revenue recognition criteria.
The following table outlines the expected future recognition of unearned revenue as of June 30, While the program has no expiration date, we intend to complete it by December 31, We provide indemnifications of varying scope and size to certain customers against claims of intellectual property infringement made by third parties arising from the use of our products and certain other matters.
Additionally, we have agreed to cover damages resulting from breaches of certain security and privacy commitments in our cloud business. In evaluating estimated losses on these indemnifications, we consider factors such as the degree of probability of an unfavorable outcome and our ability to make a reasonable estimate of the amount of loss. These obligations did not have a material impact on our consolidated financial statements during the periods presented.
The following table summarizes the payments due by fiscal year for our outstanding contractual obligations as of June 30, We expect the acquisition will close in calendar year , and we will finance the transaction primarily through the issuance of new debt.
We will continue to invest in sales, marketing, product support infrastructure, and existing and advanced areas of technology, as well as continue making acquisitions that align with our business strategy. Additions to property and equipment will continue, including new facilities, datacenters, and computer systems for research and development, sales and marketing, support, and administrative staff.
We expect capital expenditures to increase in coming years in support of our productivity and platform strategy. We have operating leases for most U. We have not engaged in any related party transactions or arrangements with unconsolidated entities or other persons that are reasonably likely to materially affect liquidity or the availability of capital resources.
We earn a significant amount of our operating income outside the U. As a result, as discussed above under Cash, Cash Equivalents, and Investments, the majority of our cash, cash equivalents, and short-term investments are held by foreign subsidiaries. We currently do not intend nor foresee a need to repatriate these funds. We expect existing domestic cash, cash equivalents, short-term investments, cash flows from operations, and access to capital markets to continue to be sufficient to fund our domestic operating activities and cash commitments for investing and financing activities, such as regular quarterly dividends, debt maturities, and material capital expenditures, for at least the next 12 months and thereafter for the foreseeable future.
In addition, we expect existing foreign cash, cash equivalents, short-term investments, and cash flows from operations to continue to be sufficient to fund our foreign operating activities and cash commitments for investing activities, such as material capital expenditures, for at least the next 12 months and thereafter for the foreseeable future.
Should we require more capital in the U. These alternatives could result in higher effective tax rates, increased interest expense, or dilution of our earnings. We have borrowed funds domestically and continue to believe we have the ability to do so at reasonable interest rates.
Our consolidated financial statements and accompanying notes are prepared in accordance with U. Preparing consolidated financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses. Critical accounting policies for us include revenue recognition, impairment of investment securities, goodwill, research and development costs, contingencies, income taxes, and inventories.
Revenue recognition for multiple-element arrangements requires judgment to determine if multiple elements exist, whether elements can be accounted for as separate units of accounting, and if so, the fair value for each of the elements. Judgment is also required to assess whether future releases of certain software represent new products or upgrades and enhancements to existing products.
Certain volume licensing arrangements include a perpetual license for current products combined with rights to receive unspecified future versions of software products and are accounted for as subscriptions, with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period.
Software updates are evaluated on a case-by-case basis to determine whether they meet the definition of an upgrade, which may require revenue to be deferred and recognized when the upgrade is delivered. If updates are determined to not meet the definition of an upgrade, revenue is generally recognized as products are shipped or made available.
Microsoft enters into arrangements that can include various combinations of software, services, and hardware. Where elements are delivered over different periods of time, and when allowed under U. GAAP, revenue is allocated to the respective elements based on their relative selling prices at the inception of the arrangement, and revenue is recognized as each element is delivered.
For software elements, we follow the industry-specific software guidance which only allows for the use of VSOE in establishing fair value. Generally, VSOE is the price charged when the deliverable is sold separately or the price established by management for a product that is not yet sold if it is probable that the price will not change before introduction into the marketplace. ESPs are established as best estimates of what the selling prices would be if the deliverables were sold regularly on a stand-alone basis.
Our process for determining ESPs requires judgment and considers multiple factors that may vary over time depending upon the unique facts and circumstances related to each deliverable. In January , we announced Windows 10 would be free to all qualified existing users of Windows 7 and Windows 8. This offer differs from historical offers preceding the launch of new versions of Windows as it is being made available for free to existing users in addition to new customers after the offer announcement.
We evaluated the nature and accounting treatment of the Windows 10 offer and determined that it represents a marketing and promotional activity, in part because the offer is being made available for free to existing users. As this is a marketing and promotional activity, revenue recognition of new sales of Windows 8 will continue to be recognized as delivered.
Customers purchasing a Windows 10 license will receive unspecified updates and upgrades over the life of their Windows 10 device at no additional cost. As these updates and upgrades will not be sold on a stand-alone basis, we are unable to establish VSOE. Accordingly, revenue from licenses of Windows 10 is recognized ratably over the estimated life of the related device, which ranges between two to four years.
We currently are evaluating the impact of the new standard related to revenue recognition, which we anticipate will have a material impact on our consolidated financial statements.
We review investments quarterly for indicators of other-than-temporary impairment. This determination requires significant judgment. In making this judgment, we employ a systematic methodology quarterly that considers available quantitative and qualitative evidence in evaluating potential impairment of our investments. If the cost of an investment exceeds its fair value, we evaluate, among other factors, general market conditions, credit quality of debt instrument issuers, the duration and extent to which the fair value is less than cost, and for equity securities, our intent and ability to hold, or plans to sell, the investment.
For fixed-income securities, we also evaluate whether we have plans to sell the security or it is more likely than not that we will be required to sell the security before recovery. We also consider specific adverse conditions related to the financial health of and business outlook for the investee, including industry and sector performance, changes in technology, and operational and financing cash flow factors.
Once a decline in fair value is determined to be other-than-temporary, an impairment charge is recorded to other income expense , net and a new cost basis in the investment is established. We allocate goodwill to reporting units based on the reporting unit expected to benefit from the business combination. We evaluate our reporting units on an annual basis and, if necessary, reassign goodwill using a relative fair value allocation approach. Goodwill is tested for impairment at the reporting unit level operating segment or one level below an operating segment on an annual basis May 1 for us and between annual tests if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value.
These events or circumstances could include a significant change in the business climate, legal factors, operating performance indicators, competition, or sale or disposition of a significant portion of a reporting unit.
Application of the goodwill impairment test requires judgment, including the identification of reporting units, assignment of assets and liabilities to reporting units, assignment of goodwill to reporting units, and determination of the fair value of each reporting unit. The fair value of each reporting unit is estimated primarily through the use of a discounted cash flow methodology. This analysis requires significant judgments, including estimation of future cash flows, which is dependent on internal forecasts, estimation of the long-term rate of growth for our business, estimation of the useful life over which cash flows will occur, and determination of our weighted average cost of capital.
The estimates used to calculate the fair value of a reporting unit change from year to year based on operating results, market conditions, and other factors.
Changes in these estimates and assumptions could materially affect the determination of fair value and goodwill impairment for each reporting unit. Costs incurred internally in researching and developing a computer software product are charged to expense until technological feasibility has been established for the product.
Once technological feasibility is established, all software costs are capitalized until the product is available for general release to customers. Judgment is required in determining when technological feasibility of a product is established.
We have determined that technological feasibility for our software products is reached after all high-risk development issues have been resolved through coding and testing.
Generally, this occurs shortly before the products are released to manufacturing. The amortization of these costs is included in cost of revenue over the estimated life of the products. The outcomes of legal proceedings and claims brought against us are subject to significant uncertainty. An estimated loss from a loss contingency such as a legal proceeding or claim is accrued by a charge to income if it is probable that an asset has been impaired or a liability has been incurred and the amount of the loss can be reasonably estimated.
In determining whether a loss should be accrued we evaluate, among other factors, the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. Changes in these factors could materially impact our consolidated financial statements. We recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position.
Accounting literature also provides guidance on derecognition of income tax assets and liabilities, classification of deferred income tax assets and liabilities, accounting for interest and penalties associated with tax positions, and income tax disclosures. Judgment is required in assessing the future tax consequences of events that have been recognized on our consolidated financial statements or tax returns.
Variations in the actual outcome of these future tax consequences could materially impact our consolidated financial statements.
Inventories are stated at average cost, subject to the lower of cost or market. Cost includes materials, labor, and manufacturing overhead related to the purchase and production of inventories.
We regularly review inventory quantities on hand, future purchase commitments with our suppliers, and the estimated utility of our inventory. These reviews include analysis of demand forecasts, product life cycle status, product development plans, current sales levels, pricing strategy, and component cost trends. If our review indicates a reduction in utility below carrying value, we reduce our inventory to a new cost basis through a charge to cost of revenue.
Management is responsible for the preparation of the consolidated financial statements and related information that are presented in this report. The Company designs and maintains accounting and internal control systems to provide reasonable assurance at reasonable cost that assets are safeguarded against loss from unauthorized use or disposition, and that the financial records are reliable for preparing consolidated financial statements and maintaining accountability for assets.
These systems are augmented by written policies, an organizational structure providing division of responsibilities, careful selection and training of qualified personnel, and a program of internal audits. The Board of Directors, through its Audit Committee, consisting solely of independent directors of the Company, meets periodically with management, internal auditors, and our independent registered public accounting firm to ensure that each is meeting its responsibilities and to discuss matters concerning internal controls and financial reporting.
Frank H. We are exposed to economic risk from foreign exchange rates, interest rates, credit risk, equity prices, and commodity prices. A portion of these risks is hedged, but they may impact our consolidated financial statements. Certain forecasted transactions, assets, and liabilities are exposed to foreign currency risk.
We monitor our foreign currency exposures daily and use hedges where practicable to offset the risks and maximize the economic effectiveness of our foreign currency positions. Principal currencies hedged include the euro, Japanese yen, British pound, Canadian dollar, and Australian dollar.
Our fixed-income portfolio is diversified across credit sectors and maturities, consisting primarily of investment-grade securities. The credit risk and average maturity of the fixed-income portfolio is managed to achieve economic returns that correlate to certain global and domestic fixed-income indices. Our equity portfolio consists of global, developed, and emerging market securities that are subject to market price risk. We manage the securities relative to certain global and domestic indices and expect their economic risk and return to correlate with these indices.
We use broad-based commodity exposures to enhance portfolio returns and facilitate portfolio diversification. Our investment portfolio has exposure to a variety of commodities, including precious metals, energy, and grain. We manage these exposures relative to global commodity indices and expect their economic risk and return to correlate with these indices.
VaR is the expected loss, for a given confidence level, in the fair value of our portfolio due to adverse market movements over a defined time horizon. The VaR model is not intended to represent actual losses in fair value, including determinations of other-than-temporary losses in fair value in accordance with U. GAAP, but is used as a risk estimation and management tool. The distribution of the potential changes in total market value of all holdings is computed based on the historical volatilities and correlations among foreign exchange rates, interest rates, equity prices, and commodity prices, assuming normal market conditions.
The VaR is calculated as the total loss that will not be exceeded at the Several risk factors are not captured in the model, including liquidity risk, operational risk, and legal risk. The following table sets forth the one-day VaR for substantially all of our positions as of June 30, and and for the year ended June 30, We have recast certain prior period amounts to conform to the current period presentation, with no impact on consolidated net income or cash flows.
The consolidated financial statements include the accounts of Microsoft Corporation and its subsidiaries. Intercompany transactions and balances have been eliminated. Investments through which we are not able to exercise significant influence over the investee and which do not have readily determinable fair values are accounted for under the cost method.
As a result, beginning in fiscal year , we report our financial performance based on our new segments described in Note 21 — Segment Information and Geographic Data. We have recast certain prior period amounts to conform to the way we internally manage and monitor segment performance during fiscal year This change primarily impacted Note 10 — Goodwill, Note 15 — Unearned Revenue, and Note 21 — Segment Information and Geographic Data, with no impact on consolidated net income or cash flows.
Preparing financial statements requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses. Examples of assumptions include: the elements comprising a software arrangement, including the distinction between upgrades or enhancements and new products; when technological feasibility is achieved for our products; the potential outcome of future tax consequences of events that have been recognized on our consolidated financial statements or tax returns; and determining when investment impairments are other-than-temporary.
Assets and liabilities recorded in foreign currencies are translated at the exchange rate on the balance sheet date. Revenue and expenses are translated at average rates of exchange prevailing during the year. Revenue is recognized when persuasive evidence of an arrangement exists, delivery has occurred, the fee is fixed or determinable, and collectability is probable.
Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities. For software elements, we follow the industry specific software guidance which only allows for the use of VSOE in establishing fair value.
Technology guarantee programs are accounted for as multiple-element arrangements as customers receive free or significantly discounted rights to use upcoming new versions of a software product if they license existing versions of the product during the eligibility period.
Revenue is allocated between the existing product and the new product, and revenue allocated to the new product is deferred until that version is delivered. The revenue allocation is based on the VSOE of fair value of the products. The VSOE of fair value for upcoming new products are based on the price determined by management having the relevant authority when the element is not yet sold separately, but is expected to be sold in the near future at the price set by management.
As these updates and upgrades will not be sold on a stand-alone basis, we are unable to establish VSOE of fair value. Certain volume licensing arrangements include a perpetual license for current products combined with rights to receive unspecified future versions of software products, which we have determined are additional software products and are therefore accounted for as subscriptions, with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period.
Arrangements that include term-based licenses for current products with the right to use unspecified future versions of the software during the coverage period, are also accounted for as subscriptions, with revenue recognized ratably over the coverage period.
Revenue from cloud-based services arrangements that allow for the use of a hosted software product or service over a contractually determined period of time without taking possession of software are accounted for as subscriptions with billings recorded as unearned revenue and recognized as revenue ratably over the coverage period beginning on the date the service is made available to customers.
Revenue from cloud-based services arrangements that are provided on a consumption basis for example, the amount of storage used in a particular period is recognized commensurate with the customer utilization of such resources.
Some volume licensing arrangements include time-based subscriptions for cloud-based services and software offerings that are accounted for as subscriptions. These arrangements are considered multiple-element arrangements. However, because all elements are accounted for as subscriptions and have the same coverage period and delivery pattern, they have the same revenue recognition timing.
Revenue related to licensing for games published by third parties for use on the Xbox consoles is recognized when games are manufactured by the game publishers. Display advertising revenue is recognized as advertisements are displayed.
Search advertising revenue is recognized when the ad appears in the search results or when the action necessary to earn the revenue has been completed. Consulting services revenue is recognized as services are rendered, generally based on the negotiated hourly rate in the consulting arrangement and the number of hours worked during the period.
Consulting revenue for fixed-price services arrangements is recognized as services are provided. Cost of revenue includes: manufacturing and distribution costs for products sold and programs licensed; operating costs related to product support service centers and product distribution centers; costs incurred to include software on PCs sold by OEMs, to drive traffic to our websites, and to acquire online advertising space; costs incurred to support and maintain Internet-based products and services, including datacenter costs and royalties; warranty costs; inventory valuation adjustments; costs associated with the delivery of consulting services; and the amortization of capitalized software development costs.
Capitalized software development costs are amortized over the estimated lives of the products. We provide for the estimated costs of fulfilling our obligations under hardware and software warranties at the time the related revenue is recognized. For hardware warranties, we estimate the costs based on historical and projected product failure rates, historical and projected repair costs, and knowledge of specific product failures if any. The specific hardware warranty terms and conditions vary depending upon the product sold and the country in which we do business, but generally include parts and labor over a period generally ranging from 90 days to three years.
For software warranties, we estimate the costs to provide bug fixes, such as security patches, over the estimated life of the software. We regularly reevaluate our estimates to assess the adequacy of the recorded warranty liabilities and adjust the amounts as necessary.
Research and development expenses also include third-party development and programming costs, localization costs incurred to translate software for international markets, and the amortization of purchased software code and services content.
Such costs related to software development are included in research and development expense until the point that technological feasibility is reached, which for our software products, is generally shortly before the products are released to manufacturing. Once technological feasibility is reached, such costs are capitalized and amortized to cost of revenue over the estimated lives of the products. Sales and marketing expenses include payroll, employee benefits, stock-based compensation expense, and other headcount-related expenses associated with sales and marketing personnel, and the costs of advertising, promotions, trade shows, seminars, and other programs.
Advertising costs are expensed as incurred. Compensation cost for stock awards is measured at the fair value on the grant date and recognized as expense, net of estimated forfeitures, over the related service period using the straight-line method. The fair value of stock awards is based on the quoted price of our common stock on the grant date less the present value of expected dividends not received during the vesting period.
Income tax expense includes U. Certain income and expenses are not reported in tax returns and financial statements in the same year. The tax effect of such temporary differences is reported as deferred income taxes. Deferred tax assets are reported net of a valuation allowance when it is more likely than not that a tax benefit will not be realized.
All deferred income taxes are classified as long-term on our consolidated balance sheets. We account for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market.
We categorize each of our fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are:. Previous page.
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