Question: Why do you think Microsoft decided to adopt a new revenue recognition policy and defer a portion of its revenues? Do you think that Microsoft

Why do you think Microsoft decided to adopt a new revenue recognition policy and defer a portion of its revenues? Do you think that Microsoft adopted its new revenue recognition policy because it better reflects economic reality or because it enables Microsoft to engage in some form of earnings management? Clearly state whether you believe it is economic reality or earnings management and briefly justify your choice. (3 point

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