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Valuation Tools Webcast #5: Capitalizing RandD
Published 4 months, 1 week ago
Description
R&D is really capital expenditures (for technology and pharmaceutical companies) but accountants treat it as operating expenses. In this webcast, I look at the process of capitalizing R&D and how it affects earnings and reinvestment rates. I use Microsoft to illustrate the process.
Microsoft 10K (2012): http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/webcasts/R&D/Microsoft10K.docx
Microsoft 10K (2011): http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/webcasts/R&D/Microsoftlastyear10K.docx
Spreadsheet: http://www.stern.nyu.edu/~adamodar/pdfiles/eqnotes/webcasts/R&D/MicrosoftR&D.xls
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