Evaluate the following quotation from Forbes: If IBM had been forced to expense [the software development cost

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Evaluate the following quotation from Forbes: “If IBM had been forced to expense [the software development cost of] $785 million, its earnings would have been cut by 72 cents a share. With IBM selling at 14 times earnings, expensing the costs might have knocked over $10 off IBM’s share price.”

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Introduction to Management Accounting

ISBN: 978-0133058789

16th edition

Authors: Charles Horngren, Gary Sundem, Jeff Schatzberg, Dave Burgsta

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