Linking the statements - non cash add back situationIB
I'm looking at the 10k for Microsoft and there are 2 non-cash expenses being added back to net income on the cash flow.
Recognition of Unearned Revenue and Deferral of Unearned Revenue.
How should I treat these items if I am linking the statements.
If I put them into deferred revenue won't that will in effect double count those items as I account for deferred revenue when calculating changes in operating assets and liabilities.
I read through the 10k and there is zero reference to these items.